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Taxation Laws Amendment Act (No. 2) 1991

Act No. 100 of 1991 as amended, taking into account amendments up to Act No. 75 of 2010
An Act to amend the law relating to taxation
Administered by: Treasury
Registered 23 Sep 2010
Start Date 29 Jun 2010
End Date 10 Mar 2016
Date of repeal 10 Mar 2016
Repealed by Amending Acts 1990 to 1999 Repeal Act 2016

Taxation Laws Amendment Act (No. 2) 1991

Act No. 100 of 1991 as amended

This compilation was prepared on 23 September 2010
taking into account amendments up to Act No. 75 of 2010

The text of any of those amendments not in force
on that date is appended in the Notes section

The operation of amendments that have been incorporated may be
affected by application provisions that are set out in the Notes section

Prepared by the Office of Legislative Drafting and Publishing,
Attorney-General’s Department, Canberra

  

  


TABLE OF PROVISIONS

 

PART 1 - PRELIMINARY

Section

1.  Short title [see Note 1]

2.  Commencement [see Note 1]

PART 2 - AMENDMENT OF THE FRINGE BENEFITS TAX ASSESSMENT ACT 1986

3.  Principal Act

4.  Indexation factor for valuation purposes - non-remote housing

5.  Repeal of sections 65B and 65C

6.  Insertion of new section:

    65CAA.   Reduction of taxable value of fringe benefits in relation to

             1991-92 year of tax - Cocos (Keeling) Islands

7.  Assessment on assumption

8.  Remote area holiday transport

9.  Christmas Island and Cocos (Keeling) Islands

10. Consequential amendments - repeal of sections 65B and 65C of the

    Principal Act

11. Consequential amendments - Cocos (Keeling) Islands

12. Application of amendments

13. Amendment of assessments

PART 3 - AMENDMENT OF THE INCOME TAX ASSESSMENT ACT 1936

14. Principal Act

15. Interpretation

16. Exemptions

17. Repeal of section 23AD

18. Exemption of certain income derived in respect of approved overseas

    projects

19. Exemption of income earned in overseas employment

20. Insertion of new Division:

    Division 1AA - Exemption from income tax - payments under the Social

                   Security Act 1991 and the Veterans' Entitlements Act

                  1986, and similar payments

    Subdivision A - Preliminary

    24A.     Interpretation - meaning of `exempt' and `not exempt'

    24AA.    Interpretation - payments derived when due

    24AAA.   Index of payments covered by Division

    Subdivision B - Exemption from income tax - payments under the Social

                    Security Act 1991

    24AB.    Index of payments covered by Subdivision

    24ABA.   Interpretation - supplementary amounts

    24ABB.   Interpretation - expressions used in the Social Security Act

             1991

    24ABC.   Age pension

    24ABD.   Invalid pension

    24ABE.   Wife pension

    24ABF.   Carer pension

    24ABG.   Sole parent pension

    24ABH.   Widowed person allowance

    24ABI.   Widow B pension

    24ABJ.   Sheltered employment allowance

    24ABK.   Rehabilitation allowance

    24ABL.   Unemployment benefit

    24ABM.   Job search allowance

    24ABN.   Employment entry payment

    24ABO.   Sickness benefit

    24ABP.   Special benefit

    24ABQ.   Special needs age pension

    24ABR.   Special needs invalid pension

    24ABS.   Special needs wife pension

    24ABT.   Special needs sole parent pension

    24ABU.   Special needs widow B pension

    24ABV.   Bereavement payments - special needs pensions

    24ABW.   Family allowance

    24ABX.   Family allowance supplement

    24ABY.   Child disability allowance

    24ABZ.   Double orphan pension

    24ABZA.  Mobility allowance

    24ABZB.  Exempt bereavement payment calculator A

    Subdivision C - Exemption from income tax - payments under the Veterans'

                    Entitlements Act 1986

    24AC.    Index of payments covered by Subdivision

    24ACA.   Interpretation - supplementary amounts

    24ACB.   Interpretation - expressions used in the Veterans' Entitlements

             Act 1986

    24ACC.   Interpretation - meaning of `pension age'

    24ACD.   Section 13 pension

    24ACE.   Age service pension

    24ACF.   Invalidity service pension

    24ACG.   Wife service pension

    24ACH.   Carer service pension

    24ACI.   Section 70 pension

    24ACJ.   Clothing allowance

    24ACK.   Attendant allowance

    24ACL.   Section 98A bereavement payment

    24ACM.   Section 99 funeral benefit

    24ACN.   Section 100 funeral benefit

    24ACO.   Decoration allowance

    24ACP.   Victoria Cross allowance

    24ACQ.   Recreation transport allowance

    24ACR.   Vehicle Assistance Scheme

    24ACS.   Special assistance

    24ACT.   Temporary incapacity allowance

    24ACU.   Loss of earnings allowance

    24ACV.   Travelling expenses

    24ACW.   Pharmaceutical supplement

    24ACX.   Exempt bereavement payment calculator B

    Subdivision D - Exemption from income tax - payments under the Seamen's

                    War Pensions and Allowances Act 1940

    24AD.    Seamen's war pensions and allowances

    24ADA.   Bereavement payments

    Subdivision E - Exemption from income tax - payments by virtue of the

                    Veterans' Entitlements (Transitional Provisions and

                    Consequential Amendments) Act 1986

    24AE.    Payments by virtue of the Veterans' Entitlements (Transitional

             Provisions and Consequential Amendments) Act 1986

    Subdivision F - Exemption from income tax - payments of allowances under

                    Part III of the Disability Services Act 1986

    24AF.    Allowances under Part III

    Subdivision G - Exemption from income tax - payments of domiciliary

                    nursing care benefit under Part VB of the National

                    Health Act 1953

    24AG.    Domiciliary nursing care benefit

    Subdivision H - Exemption from income tax - similar Australian and

                    United Kingdom veterans' payments

    24AH.    Similar Australian and United Kingdom veterans' payments

    Subdivision I - Exemption from income tax - wounds and disability

                    pensions

    24AI.    Wounds and disability pensions

    Subdivision J - Occupational superannuation payments not covered by this

                    Division

    24AJ.    Occupational superannuation payments not covered by this

             Division

21. Application of Division - 1985-86 to 1990-91

22. Insertion of new section:

    24BB.    Application of Division - 1991-92 and subsequent years

23. Insertion of new section:

    24P.     Transitional capital gains tax provisions for certain Cocos

             (Keeling) Islands assets

24. Amounts received on retirement or termination of employment in lieu of

    long service leave

25. Securities lending arrangements

26. Interpretation

27. Insertion of new section:

    43A.     Subdivision has effect subject to section 160AQUA (transfer of

             shareholder status for tax purposes)

28. Distribution benefits - CFCs

29. Bad debts of money-lenders not allowable deductions where attributable

    to listed country branches

30. Deduction of expenditure on prevention of land degradation

31. Gifts, pensions etc.

32. Rebates for residents of isolated areas

33. Interpretation

34. Payment of interest by taxpayer on distributions from certain

    non-resident trust estates

35. Persons to whom Division applies

36. Disposal, loss, destruction or termination of use of property

37. Insertion of new section:

    122KA.   Application of section 122K before 1 July 1991 - subsequent use

             of property for rehabilitation

38. Disposal, loss, destruction or termination of use of property

39. Insertion of new section:

    124AMA.  Application of section 124AM before 1 July 1991 – subsequent

             use of property for rehabilitation

40. Insertion of new Division:

    Division 10AB - Rehabilitation and Restoration of Mining, Quarrying and

                    Petroleum Sites

    124B.    Interpretation

    124BA.   Deduction of expenditure on rehabilitation-related activities

    124BB.   Rehabilitation-related activity

    124BC.   No deduction for certain expenditure

    124BD.   No deduction where expenditure is recouped

    124BE.   Transactions between persons not at arm's length

    124BF.   Property used for rehabilitation-related activities taken to be

             used for the purpose of producing assessable income

41. Foreign debt

42. Foreign equity

43. Section 128F debenture amounts

44. Adjustment of foreign equity in certain cases involving resident holding

    companies of financial institutions

45. Insertion of new section:

    159GZLB. Transition to wholly-owned banking group – resident company

             group and adjustment of foreign equity

46. Rebates for dependants

47. Housekeeper

48. Interpretation

49. Rebate in respect of certain pensions, benefits etc.

50. Insertion of new section:

    160ACE.  Rebate for certain Cocos (Keeling) Islands income – 1991-92

51. Credits in respect of foreign tax

52. Interpretation

53. Insertion of new Division:

    Division 6A - Transfer of Shareholder Status for Tax Purposes

    160AQUA. Transfer of shareholder status for tax purposes – cum-dividend

             stock exchange sales and securities lending arrangements

    160AQUB. Securities dealer to give dividend statement to other party –

             cum-dividend sale

    160AQUC. No securities dealer - party to cum-dividend sale contract to

             give dividend statement to other party

    160AQUD. Borrower under a securities lending arrangement to give

             dividend statement to lender

54. General application of Part in relation to corporate trust estates

55. Penalty for setting out incorrect amounts in dividend statements

56. Deemed assessment

57. Quotation of tax file number in employment declaration

58. Effect of incorrect quotation of tax file number

59. Explanation of terms: investment, investor, investment body

60. Insertion of new sections:

    202DDA.  Quotation of investment body remitter number to be alternative

             to quoting tax file number

    202DDB.  Quotation of tax file number in connection with indirectly held

             investment

61. Investments held jointly

62. Persons receiving certain pensions etc. - employment

63. Persons receiving certain pensions etc. - investments

64. Non-residents

65. When income tax becomes due and payable

66. Interpretation

67. Certain employees to be subject to provisional tax

68. Uplifted provisional tax amount

69. Provisional tax on estimated income

70. Interpretation

71. Duty of payer to pay deducted amount to Commissioner

72. Credits in respect of deducted amounts

73. Interpretation

74. Medicare levy

75. Prescribed persons

76. Insertion of new section:

    399A.    Modified application of bad debt provisions

77. Reduction of section 456 assessability where item subject to foreign

    accruals tax

78. Assessability in respect of certain dividends paid by a CFC

79. Insertion of new section:

    462A.    Keeping of records - section 457

80. Insertion of new section:

    464A.    Keeping of records - section 459A

81. Offence of failing to keep records

82. Circumstances where records not required to be kept – reasonable excuse

    etc.

83. Application of amendments

84. Amendment of assessments

PART 4 - AMENDMENT OF THE INCOME TAX RATES ACT 1986

85. Principal Act

86. Interpretation

87. Interpretation

88. Application of amendments

PART 5 - AMENDMENT OF THE MEDICARE LEVY ACT 1986

89. Principal Act

90. Amount of levy - person who has spouse or dependants

91. Application of amendments

PART 6 - AMENDMENT OF THE TAXATION ADMINISTRATION ACT 1953

92. Principal Act

93. Interpretation

SCHEDULE 1

AMENDMENTS OF THE FRINGE BENEFITS TAX ASSESSMENT ACT 1986 CONSEQUENTIAL ON

THE REPEAL OF SECTIONS 65B AND 65C OF THAT ACT

SCHEDULE 2

CONSEQUENTIAL AMENDMENTS OF THE FRINGE BENEFITS TAX ASSESSMENT ACT 1986

RELATING TO THE COCOS (KEELING) ISLANDS


TAXATION LAWS AMENDMENT ACT (No. 2) 1991No. 100, 1991 - LONG TITLE

 

      An Act to amend the law relating to taxation

 

PART 1 - PRELIMINARY

 

TAXATION LAWS AMENDMENT ACT (No. 2) 1991No. 100, 1991

- SECT 1

Short title [see Note 1]

 

  1. This Act may be cited as the Taxation Laws Amendment Act (No. 2) 1991.

 

TAXATION LAWS AMENDMENT ACT (No. 2) 1991No. 100, 1991

- SECT 2

Commencement [see Note 1]

 

  2. (1) Subject to this section, this Act commences on the day on which it

receives the Royal Assent.

  (2) Sections 4, 6, 8, 9 and 11 commence on the day after the day on which

this Act receives the Royal Assent.

  (3) Section 29 commences, or is taken to have commenced, immediately after

the commencement of section 14 of the Taxation Laws Amendment Act 1991.

  (4) Paragraph 33 (a) is taken to have commenced at the same time as section

59 of the Taxation Laws Amendment Act (No. 2) 1990.

  (5) Paragraphs 33 (c) and (d) are taken to have commenced at the same time

as section 31 of the Taxation Laws Amendment Act (No. 3) 1989.

  (6) Section 77 commences, or is taken to have commenced, immediately after

the commencement of section 76 of the Taxation Laws Amendment Act 1991.

  (7) Section 78 is taken to have commenced immediately after the commencement

of the Taxation Laws Amendment (Foreign Income) Act 1990.

 

PART 2 - AMENDMENT OF THE FRINGE BENEFITS TAX ASSESSMENT ACT 1986

 

TAXATION LAWS AMENDMENT ACT (No. 2) 1991No. 100, 1991

- SECT 3

Principal Act

 

  3. In this Part, "Principal Act" means the Fringe Benefits Tax Assessment

Act 1986.*1*

*1* No. 39, 1986, as amended. For previous amendments, see Nos. 48 and 112,

1986; Nos. 23 and 145, 1987; No. 139, 1987 (as amended by Nos. 11 and 78,

1988); Nos. 6, 78, 95, 97 and 153, 1988; Nos. 2, 11, 97 and 107, 1989; Nos.

58, 60 and 135, 1990; and No. 48, 1991.

 

TAXATION LAWS AMENDMENT ACT (No. 2) 1991No. 100, 1991

- SECT 4

Indexation factor for valuation purposes - non-remote housing

 

  4. Section 28 of the Principal Act is amended by inserting in paragraph (5)

        (b) "and the Territory of Cocos (Keeling) Islands" after "Christmas

Island".

 

TAXATION LAWS AMENDMENT ACT (No. 2) 1991No. 100, 1991

- SECT 5

Repeal of sections 65B and 65C

 

  5. Sections 65B and 65C of the Principal Act are repealed.

 

TAXATION LAWS AMENDMENT ACT (No. 2) 1991No. 100, 1991

- SECT 6

 

  6. Before section 65CA of the Principal Act the following section is

inserted in Division 14 of Part III:

Reduction of taxable value of fringe benefits in relation to 1991-92 year of

tax - Cocos (Keeling) Islands

  "65CAA. (1) Where:

  (a)  a fringe benefit (not being a car fringe benefit) in relation to an

employer in relation to the year of tax commencing on 1 April 1991 relates to

a particular employee; and

  (b)  on or after 1 July 1991, the employee derived salary or wages from

Cocos (Keeling) Islands service, being salary or wages paid by the employer;

and

  (c)  the fringe benefit was provided in respect of that Cocos (Keeling)

Islands service; and

  (d)  except in the case of a loan fringe benefit, a housing fringe benefit

or a period residual fringe benefit - the benefit was provided  on or after 1

July 1991; and

  (e)  in the case of a loan fringe benefit, a housing fringe benefit or a

period residual fringe benefit - the whole or a part (which whole or part is

in this subsection called the `reducible portion') of the taxable value of the

fringe benefit is attributable to the obligation to repay the whole or any

part of the loan, the subsistence of the housing right or the provision of the

residual benefit, as the case may be, on or after 1 July 1991;

the amount that, but for this subsection and sections 62, 64 and 65, would be

the taxable value or, if paragraph (e) applies, the reducible portion of

taxable value, of that fringe benefit in relation to the year of tax is to be

reduced by 50%.

  "(2) Where:

  (a)  one or more car fringe benefits (in this subsection called the

`eligible car fringe benefits') in relation to an employee, in relation to an

employer, in relation to the year of tax commencing on 1 April 1991 relate to

a particular car; and

  (b)  on or after 1 July 1991, the employee derived salary or wages from

Cocos (Keeling) Islands service, being salary or wages paid by the employer;

and

  (c)  the eligible car fringe benefits were provided on or after 1 July 1991

in respect of that Cocos (Keeling) Islands service;

the amount that, but for this subsection and sections 62, 64 and 65, would be

the taxable value, or the sum of the taxable values, as the case requires, of

the car fringe benefits in relation to the employer in relation to the year of

tax that relate to the car is to be reduced by the amount calculated using the

formula:

                  Taxable value  x  0.5

where:

`Taxable value' means so much of the taxable value or the sum of the taxable

values as is attributable to the eligible car fringe benefits.

  "(3) A reference in this section to Cocos (Keeling) Islands service is a

reference to service as an employee where:

  (a)  salary or wages are payable in respect of the service; and

  (b)  if:

    (i)  section 24BB of the Income Tax Assessment Act 1936 had

not been enacted; and

    (ii) section 24BA of that Act had applied in relation to

the year of income in which the salary or wages were derived;

the salary or wages would have been exempt income under section 24G of that

Act.".

 

TAXATION LAWS AMENDMENT ACT (No. 2) 1991No. 100, 1991

- SECT 7

Assessment on assumption

 

  7. Section 124A of the Principal Act is amended by omitting from paragraph

(1) (b) "the whole or a part of".

 

TAXATION LAWS AMENDMENT ACT (No. 2) 1991No. 100, 1991

- SECT 8

Remote area holiday transport

 

  8. Section 143 of the Principal Act is amended by adding at the end of

paragraph (4) (d) "and the Territory of Cocos (Keeling) Islands".

 

TAXATION LAWS AMENDMENT ACT (No. 2) 1991No. 100, 1991

- SECT 9

Christmas Island and Cocos (Keeling) Islands

 

  9. Section 157 of the Principal Act is amended:

  (a) by adding at the end of subsection (1) "and to the Territory of Cocos

(Keeling) Islands";

  (b) by inserting in subsection (2) "or the Territory of Cocos (Keeling)

Islands" after "Christmas Island".

 

TAXATION LAWS AMENDMENT ACT (No. 2) 1991No. 100, 1991

- SECT 10

Consequential amendments - repeal of sections 65B and 65C of the Principal

Act

 

  10. The Principal Act is amended as set out in Schedule 1.

 

TAXATION LAWS AMENDMENT ACT (No. 2) 1991No. 100, 1991

- SECT 11

Consequential amendments - Cocos (Keeling) Islands

 

  11. The Principal Act is amended as set out in Schedule 2.

 

TAXATION LAWS AMENDMENT ACT (No. 2) 1991No. 100, 1991

- SECT 12

Application of amendments

 

  12. (1) In this section:

"amended Act" means the Principal Act as amended by this Act.

  (2) The repeal of sections 65B and 65C of the Principal Act effected by this

Part and the amendments made by sections 7 and 10 apply in relation to

eligible foreign remuneration, or foreign earnings, derived on or after 1 July

1990 and:

  (a)  except in the case of a loan fringe benefit, a housing fringe benefit

or a period residual fringe benefit - in relation to a benefit provided on or

after 1 July 1990; or

  (b)  in the case of a loan fringe benefit, a housing fringe benefit or a

period residual fringe benefit - in relation to the obligation to repay the

whole or any part of the loan, the subsistence of the housing right or the

provision of the residual benefit, as the case may be, on or after 1 July

1990.

  (3) Subject to this section, the amendments made by sections 4, 6, 8, 9 and

11 apply to assessments of the fringe benefits taxable amount of an employer

of the year of tax commencing on 1 April 1991 and of each subsequent year of

tax.

  (4) In spite of anything in the amended Act, the amended Act applies in

relation to the Territory of Cocos (Keeling) Islands as if that Territory had

become an internal Territory on 1 July 1991.

 

TAXATION LAWS AMENDMENT ACT (No. 2) 1991No. 100, 1991

- SECT 13

Amendment of assessments

 

  13. Section 74 of the Principal Act does not prevent the amendment of an

assessment made before the commencement of this section for the purpose of

giving effect to this Act.

 

PART 3 - AMENDMENT OF THE INCOME TAX ASSESSMENT ACT 1936

 

TAXATION LAWS AMENDMENT ACT (No. 2) 1991No. 100, 1991

- SECT 14

Principal Act

 

  14. In this Part, "Principal Act" means the Income Tax Assessment Act

1936.*2*

*2* No. 27, 1936, as amended. For previous amendments, see No. 88, 1936; No.

5, 1937; No. 46, 1938; No. 30, 1939; Nos. 17 and 65, 1940; Nos. 58 and 69,

1941; Nos. 22 and 50, 1942; No. 10, 1943; Nos. 3 and 28, 1944; Nos. 4 and 37,

1945; No. 6, 1946; Nos. 11 and 63, 1947; No. 44, 1948; No. 66, 1949; No. 48,

1950; No. 44, 1951; Nos. 4, 28 and 90, 1952; Nos. 1, 28, 45 and 81, 1953; No.

43, 1954; Nos. 18 and 62, 1955; Nos. 25, 30 and 101, 1956; Nos. 39 and 65,

1957; No. 55, 1958; Nos. 12, 70 and 85, 1959; Nos. 17, 18, 58 and 108, 1960;

Nos. 17, 27 and 94, 1961; Nos. 39 and 98, 1962; Nos. 34 and 69, 1963; Nos. 46,

68, 110 and 115, 1964; Nos. 33, 103 and 143, 1965; Nos. 50 and 83, 1966; Nos.

19, 38, 76 and 85, 1967; Nos. 4, 70, 87 and 148, 1968; Nos. 18, 93 and 101,

1969; No. 87, 1970; Nos. 6, 54 and 93, 1971; Nos. 5, 46, 47, 65 and 85, 1972;

Nos. 51, 52, 53, 164 and 165, 1973; No. 216, 1973 (as amended by No. 20,

1974); Nos. 26 and 126, 1974; Nos. 80 and 117, 1975; Nos. 50, 53, 56, 98, 143,

165 and 205, 1976; Nos. 57, 126 and 127, 1977; Nos. 36, 57, 87, 90, 123, 171

and 172, 1978; Nos. 12, 19, 27, 43, 62, 146, 147 and 149, 1979; Nos. 19, 24,

57, 58, 124, 133, 134 and 159, 1980; Nos. 61, 92, 108, 109, 110, 111, 154 and

175, 1981; Nos. 29, 38, 39, 76, 80, 106 and 123, 1982; Nos. 14, 25, 39, 49,

51, 54 and 103, 1983; Nos. 14, 42, 47, 63, 76, 115, 124, 165 and 174, 1984;

No. 123, 1984 (as amended by No. 65, 1985); Nos. 47, 49, 104, 123, 168 and

174, 1985; No. 173, 1985 (as amended by No. 49, 1986); Nos. 41, 46, 48, 51,

109, 112 and 154, 1986; No. 49, 1986 (as amended by No. 141, 1987); No. 52,

1986 (as amended by No. 141, 1987); No. 90, 1986 (as amended by No. 141,

1987); Nos. 23, 58, 61, 120, 145 and 163, 1987; No. 62, 1987 (as amended by

No. 108, 1987); No. 108, 1987 (as amended by No. 138, 1987); No. 138, 1987 (as

amended by No. 11, 1988); No. 139, 1987 (as amended by Nos. 11 and 78, 1988);

Nos. 8, 11, 59, 75, 78, 80, 87, 95, 97, 127 and 153, 1988; Nos. 2, 11, 56, 70,

73, 105, 107, 129, 163 and 167, 1989; No. 97, 1989 (as amended by No. 105,

1989); Nos. 20, 35, 45, 57, 58, 60, 61, 87, 119 and 135, 1990; and Nos. 4, 5,

6, 48 and 55, 1991.

 

TAXATION LAWS AMENDMENT ACT (No. 2) 1991No. 100, 1991

- SECT 15

Interpretation

 

  15. Section 6 of the Principal Act is amended by inserting in subsection (1)

the following definition:

" `Timor Gap treaty' means the Treaty defined by subsection 5 (1) of the

Petroleum (Australia--Indonesia Zone of Cooperation) Act 1990;".

 

TAXATION LAWS AMENDMENT ACT (No. 2) 1991No. 100, 1991

- SECT 16

Exemptions

 

  16. Section 23 of the Principal Act is amended by omitting paragraph (jca).

 

TAXATION LAWS AMENDMENT ACT (No. 2) 1991No. 100, 1991

- SECT 17

Repeal of section 23AD

 

  17. Section 23AD of the Principal Act is repealed.

 

TAXATION LAWS AMENDMENT ACT (No. 2) 1991No. 100, 1991

- SECT 18

Exemption of certain income derived in respect of approved overseas projects

 

  18. Section 23AF of the Principal Act is amended:

  (a) by omitting from subsection (1) "365" and substituting "91";

  (b) by omitting subsection (2);

  (c) by omitting from paragraph (15) (b) "subsection (1) or (2)" and

substituting "this section";

  (d) by omitting subsections (17A) and (17B) and substituting the following

subsections:

 "(17A) If the income of a taxpayer of a year of income consists of an amount

that is exempt from tax under this section (in this section called the `exempt

amount') and other income, the amount of tax (if any) payable in respect of

the other income is calculated using the formula:

             Notional gross tax

             Notional gross      x     Other taxable

             taxable income               income

where:

`Notional gross tax' means the number of whole dollars in the amount of income

tax that would be assessed under this Act in respect of the taxpayer's taxable

income of the year of income if:

  (a)  the exempt amount were not exempt income; and

  (b)  the taxpayer were not entitled to any rebate of tax; `Notional gross

taxable income' means the number of whole dollars in the amount that would

have been the taxpayer's taxable income of the year of income if the exempt

amount were not exempt income;

`Other taxable income' means the amount (if any) remaining after deducting

from so much of the other income as is assessable income:

  (d)  any deductions allowable to the taxpayer in relation to the year of

income that relate exclusively to that assessable income; and

  (e)  so much of any other deductions (other than apportionable deductions)

allowable to the taxpayer in relation to the year of income as, in the opinion

of the Commissioner, may appropriately be related to that assessable income;

and

  (f)  the amount calculated using the formula in subsection (17B).

 "(17B) The formula referred to in paragraph (17A) (f) is:

             Apportionable

             deductions x            Other taxable income

                              Apportionable   +   Notional gross

                              deductions          taxable income

where:

`Apportionable deductions' means the number of whole dollars in the

apportionable deductions allowable to the taxpayer in relation to the year of

income;

`Other taxable income' means the amount that, apart from paragraph (17A) (f),

would be represented by the component `Other taxable income' in subsection

(17A);

`Notional gross taxable income' means the number of whole dollars in the

amount that would have been the taxpayer's taxable income of the year of

income if the exempt amount were not exempt income.".

 

TAXATION LAWS AMENDMENT ACT (No. 2) 1991No. 100, 1991

- SECT 19

Exemption of income earned in overseas employment

 

  19. Section 23AG of the Principal Act is amended:

  (a)  by omitting from subsection (1) "365" and substituting "91";

  (b)  by omitting subsections (2), (3), (4) and (5) and substituting the

following subsections:

 "(2) An amount of foreign earnings derived in a foreign country is not exempt

from tax under this section if the amount is exempt from income tax in the

foreign country only because of any of the following:

  (a)  a law of the foreign country giving effect to a double tax agreement;

  (b)  a double tax agreement;

  (c)  provisions of a law of the foreign country under which income covered

by any of the following categories is generally exempt from income tax:

    (i)   income derived in the capacity of an employee;

    (ii)  income from personal services;

    (iii) similar income;

  (d)  the law of the foreign country does not provide for the imposition of

income tax on one or more of the categories of income mentioned in paragraph

        (c);

  (e)  a law of the foreign country corresponding to the International

Organizations (Privileges and Immunities) Act 1963 or to the regulations under

that Act;

  (f)  an international agreement to which Australia is a party and that deals

with:

    (i)  diplomatic or consular privileges and immunities; or

    (ii) privileges and immunities in relation to persons

connected with international organisations;

  (g)  a law of the foreign country giving effect to an agreement covered by

paragraph (f).

 "(3) If the income of a taxpayer of a year of income consists of an amount

that is exempt from tax under this section (in this section called the `exempt

amount') and other income, the amount of tax (if any) payable in respect of

the other income is calculated using the formula:

             Notional gross tax

             Notional gross      x     Other taxable

             taxable income               income

where:

`Notional gross tax' means the number of whole dollars in the amount of income

tax that would be assessed under this Act in respect of the taxpayer's taxable

income of the year of income if:

  (a)  the exempt amount were not exempt income; and

  (b)  the taxpayer were not entitled to any rebate of tax;

`Notional gross taxable income' means the number of whole dollars in the

amount that would have been the taxpayer's taxable income of the year of

income if the exempt amount were not exempt income;

`Other taxable income' means the amount (if any) remaining after deducting

from so much of the other income as is assessable income:

  (d)  any deductions allowable to the taxpayer in relation to the year of

income that relate exclusively to that assessable income; and

  (e)  so much of any other deductions (other than apportionable deductions)

allowable to the taxpayer in relation to the year of income as, in the opinion

of the Commissioner, may appropriately be related to that assessable income;

and

  (f)  the amount calculated using the formula in subsection (4).

 "(4) The formula referred to in paragraph (3) (f) is:

             Apportionable

             deductions x            Other taxable income

                              Apportionable   +   Notional gross

                              deductions          taxable income

where:

`Apportionable deductions' means the number of whole dollars in the

apportionable deductions allowable to the taxpayer in relation to the year of

income;

`Other taxable income' means the amount that, apart from paragraph (3) (f),

would be represented by the component `Other taxable income' in subsection

(3);

`Notional gross taxable income' means the number of whole dollars in the

amount that would have been the taxpayer's taxable income of the year of

income if the exempt amount were not exempt income.";

  (c) by omitting subsection (6H);

  (d) by inserting in subsection (7) the following definitions: " `double tax

agreement' means:

  (a)  double tax agreement within the meaning of Part X; or

  (b)  the Timor Gap treaty;

`income tax', in relation to a foreign country:

  (a)  in all cases - does not include a municipal income tax; and

  (b)  in the case of a federal foreign country - does not include a State

income tax;".

 

TAXATION LAWS AMENDMENT ACT (No. 2) 1991No. 100, 1991

- SECT 20

 

  20. After section 24 of the Principal Act the following Division is

inserted:

    "Division 1AA - Exemption from income tax - payments under

    the Social Security Act 1991 and the Veterans' Entitlements

                 Act 1986, and similar payments

                  "Subdivision A - Preliminary

Interpretation - meaning of `exempt' and `not exempt'

  24A. In this Division:

`exempt' means exempt from income tax;

`not exempt' means not exempt from income tax under this Division.

Interpretation - payments derived when due

  "24AA. (1) For the purposes of the application of this Division to a payment

derived by a taxpayer, the payment is taken to have been derived on the day on

which the payment became due.

  "(2) For the purposes of the application of this Division to a payment that

would have been derived by a taxpayer in particular circumstances, the payment

is taken to have been derived on the day on which the payment would have

become due in those circumstances.

Index of payments covered by Division

  "24AAA. The following is an index of payments covered by this Division:

  Type of payment                          Subdivision       Sections

  Payments under the Social Security       Subdivision B     24AB-24ABZB

  Act 1991

  Payments under the Veterans'

  Entitlements Act 1986

                                           Subdivision C     24AC-24ACX

  Payments under the Seamen's

  War Pensions and Allowances Act 1940     Subdivision D     24AD-24ADA

  Payments by virtue of the Veterans'

  Entitlements (Transitional Provisions

  and Consequential Amendments) Act 1986   Subdivision E     24AE

  Allowances under Part III of the

  Disability Services Act 1986             Subdivision F     24AF

  Payments of domiciliary nursing care

  benefit under Part VB of the National

  Health Act 1953                          Subdivision G     24Ag

  Similar Australian and United Kingdom

  veterans' payments                       Subdivision H     24AH

  Wounds and disability pensions           Subdivision I     24AI

        "Subdivision B - Exemption from income tax - payments under

                      the Social Security Act 1991

Index of payments covered by Subdivision

  "24AB. The following is an index of payments under the Social Security Act

1991 covered by this Subdivision:

  Type of payment                                      Section

  Age pension                                          24ABC

  Carer pension                                        24ABF

  Child disability allowance                           24ABY

  Double orphan pension                                24ABZ

  Employment entry payment                             24ABN

  Family allowance                                     24ABW

  Family allowance supplement                          24ABX

  Invalid pension                                      24ABD

  Job search allowance                                 24ABM

  Mobility allowance                                   24ABZA

  Rehabilitation allowance                             24ABK

  Sheltered employment allowance                       24ABJ

  Sickness benefit                                     24ABO

  Sole parent pension                                  24ABG

  Special benefit                                      24ABP

  Special needs age pension                            24ABG

  Special needs invalid pension                        24ABR

  Special needs sole parent pension                    24ABT

  Special needs widow B pension                        24ABU

  Special needs wife pension                           24ABS

  Unemployment benefit                                 24ABL

  Widow B pension                                      24ABI

  Widowed person allowance                             24ABH

  Wife pension                                         24ABE

Interpretation - supplementary amounts

  "24ABA. (1) For the purpose of applying this Subdivision to a payment

derived by a taxpayer, the supplementary amounts are as follows:

  Type of payment                          Supplementary amounts

  Age pension                              (a)  so much of the payment as

  Wife pension                             was included in the payment

  Carer pension                            because the taxpayer or the

  Sole parent pension                      partner of the taxpayer paid

  Widowed person allowance                 rent;

  Widow B pension                          (b)  so much of the payment

  Special needs age pension                as represents an increase in the

  Special needs wife pension               rate of the pension that is

  Special needs sole parent pension        calculated by reference to

  Special needs widow B pension            another person or other persons;

                                           (c)  so much of the payment as

                                           was included in the payment by

                                           way of remote area allowance.

  Unemployment benefit

 

TAXATION LAWS AMENDMENT ACT (No. 2) 1991No. 100, 1991

- SECT 21

Application of Division - 1985-86 to 1990-91

 

  21. Section 24BA of the Principal Act is amended by inserting "preceding the

year of income commencing on 1 July 1991" after "all subsequent years of

income".

 

TAXATION LAWS AMENDMENT ACT (No. 2) 1991No. 100, 1991

- SECT 22

 

  22. After section 24BA of the Principal Act the following section is

inserted:

Application of Division - 1991-92 and subsequent years

  "24BB. This Division applies to assessments in respect of income of the

1991-92 year of income and of all subsequent years of income as if:

  (a)  the definition of `prescribed Territory' in subsection 24B (1) were

omitted and the following definition were substituted:

` "prescribed Territory" means Norfolk Island.'; and

  (b)  subsection 24L (5) were omitted and the following subsection were

substituted:

     `(5) In subsections (1), (3), (4), (4A), (4B) and (4C),

"Australia", "resident" and "non-resident" have the meanings that those

expressions would have if subsection 7A (2) did not refer to Norfolk

Island.'.".

 

TAXATION LAWS AMENDMENT ACT (No. 2) 1991No. 100, 1991

- SECT 23

 

  23. After section 24N of the Principal Act the following section is

inserted:

Transitional capital gains tax provisions for certain Cocos (Keeling) Islands

assets

  "24P. (1) Subject to an election under subsection (5), this section applies

to an asset held by a taxpayer where all of the following conditions are

satisfied:

  (a)  the asset was owned by the taxpayer at the end of 30 June 1991;

  (b)  if the asset had been disposed of by the taxpayer on 1 July 1991, Part

IIIA would, or would, apart from section 160zzf and Divisions 5A, 7A and 17 of

that Part, have applied in respect of that disposal;

  (c)  if:

    (i)  the asset had been disposed of by the taxpayer on 1

July 1991; and

    (ii)  profits or gains of a capital nature had been derived

by the taxpayer in respect of that disposal; and

    (iii) section 24BB had not been enacted; and

    (iv)  section 24BA had applied in relation to the year of

income in which disposal occurred;

    the profits or gains would have been exempt income under

this Division.

  "(2) For the purposes of Part IIIA:

  (a)  except for the purposes of determining the cost base to the taxpayer of

the asset - the asset is taken to have been acquired by the taxpayer on 30

June 1991; and

  (b)  the taxpayer is taken to have paid or given as consideration in respect

of the acquisition of the asset an amount equal to the market value of the

asset as at the end of 30 June 1991; and

  (c)  the taxpayer is taken to have paid or given that consideration on 30

June 1991.

  "(3) Paragraphs 160ZZU (1) (a) and (b) do not apply in relation to the

taxpayer in relation to the asset.

  "(4) If a provision of Part IIIA provides that, if a disposal of an asset

occurs within 12 months after the day (in this subsection called the

`acquisition day') on which the asset was acquired by a taxpayer, a reference

in another provision of that Part to the indexed cost base to the taxpayer in

respect of the asset is to be construed as a reference to the cost base to the

taxpayer in respect of the asset, paragraph (2) (a) of this section does not

apply for the purposes of determining the acquisition day for the purposes of

the first-mentioned provision.

  "(5) If, as at the date on which a taxpayer disposes of an asset, the

taxpayer has complied with section 160zzu in relation to the asset, the

taxpayer may elect that this section does not apply in relation to the asset.

  "(6) An election for the purposes of subsection (5) must be lodged with the

Commissioner on or before the date of lodgment of the taxpayer's return of

income for the year of income in which the disposal occurred or within such

further period as the Commissioner allows.

  "(7) An expression used in this section and in Part IIIA has the same

meaning in this section as it has in that Part.".

 

TAXATION LAWS AMENDMENT ACT (No. 2) 1991No. 100, 1991

- SECT 24

Amounts received on retirement or termination of employment

in lieu of long service leave

 

  24. Section 26AD of the Principal Act is amended by adding at the end the

following subsection:

  "(13) Where:

  (a)  apart from this subsection, an amount would be included in the

assessable income of a taxpayer in respect of an amount to which this section

applies (in this subsection called the `lump sum amount'); and

  (b)  apart from section 24BB, no amount, or a lesser amount, would be

included in the assessable income of the taxpayer in respect of the lump sum

amount;

this section has effect in relation to the lump sum amount as if:

  (c)  references in the preceding provisions of this section (other than

subsection (12)) to 15 August 1978 were references to 30 June 1991; and

  (d)  subsection (5) were omitted.".

 

TAXATION LAWS AMENDMENT ACT (No. 2) 1991No. 100, 1991

- SECT 25

Securities lending arrangements

 

  25. Section 26BC of the Principal Act is amended:

  (a)  by omitting "listed" from paragraph (a) of the definition of "eligible

security" in subsection (1) and substituting "public";

  (b)  by inserting in subsection (1) the following definitions:

    " `distribution' includes:

  (a)  interest; or

  (b)  a dividend; or

  (c)  a share issued by a company to a shareholder in the company where the

share is issued:

    (i)  as a bonus share; or

    (ii)  in the circumstances mentioned in subsection 6BA (1);

or

  (d)  an amount credited by the trustee of a unit trust to a unit holder as a

unit holder; or

  (e)  a unit issued by the trustee of a unit trust in the circumstances that

would be covered by section 160ZYC if paragraph (d) of that section had not

been enacted;

    `public company' means:

  (a)  a listed company; or

  (b)  a mutual life assurance company (within the meaning of section 110);

or

  (c)  a company in which a government or an authority of a government has a

controlling interest; or

  (d)  a company that is a subsidiary of a company covered by paragraph (a),

        (b) or (c);

    `subsidiary' has the same meaning as in section

160ZZO.";

  (c)  by omitting from subparagraph (3) (a) (ii) "not being later than 3

months" and substituting "being less than 12 months";

  (d)  by omitting paragraph (3) (c) and substituting the following

paragraph:

  "(c)   if any of the following events occurred during the period (in this

section called the `borrowing period') commencing at the original disposal

time and ending at the re-acquisition time:

    (i)  the making or payment of a distribution (whether in

property or money) in respect of the borrowed security;

    (ii)  the issue, by the company, trustee, government or

government authority concerned, of a right or option in respect of the

borrowed security;

    (iii)  if the borrowed security is a right or option:

      (A)  the giving of a direction by the lender to the

borrower to exercise the right or option; or

      (B)  the giving of a direction by the lender to the

borrower to exercise an identical right or option;

then (even if the event occurred after the borrowed security was disposed of

by the borrower to a third party), the lender receives from the borrower,

under the agreement:

    (iv)  if subparagraph (i) applies:

         (A)  the distribution; or

         (B)  if the distribution is in property - identical

property; or

         (C)  a payment (in this section called the `compensatory

payment') equal to the value to the lender of the distribution; or

    (v)  if subparagraph (ii) applies:

         (A)  the right or option; or

         (B)  an identical right or option; or

         (C)  a payment (in this section also called the

`compensatory payment') equal to the value to the lender of the right or

option; or

    (vi)  if subparagraph (iii) applies:

         (A)  the shares, units, bonds, debentures or financial

instruments that resulted from exercising the right or option; or

         (B)  shares, units, bonds, debentures or financial

instruments that are identical to those that resulted from, or that would have

resulted from, exercising the right or option; or

         (C)  a payment (in this section also called the

`compensatory payment') equal to the value to the lender of the shares, units,

bonds, debentures or financial instruments that resulted from, or would have

resulted from, exercising the right or option; and";

  (e) by inserting after subsection (3) the following subsection:

 "(3A) For the purposes of paragraph (3) (c), if, apart from this subsection,

either of the following events occurred after the commencement of the

borrowing period:

  (a)  the making or payment of a distribution (whether in property or money)

in respect of the borrowed security;

  (b)  the issue, by the company, trustee, government or government authority

concerned, of a right or option in respect of the borrowed security;

(even if the event occurred after the borrowed security was disposed of by the

borrower to a third party), the event is taken to have occurred during the

borrowing period if, and only if, (assuming that the borrower had held the

borrowed security at all times during the borrowing period) the entitlement to

the distribution or issue would have been attributable to the borrower's

holding of the borrowed security at a particular time during the borrowing

period.";

  (f) by inserting after subsection (4) the following subsections:

 "(4A) If the lender receives a compensatory payment covered by

sub-subparagraph (3) (c) (v) (C), then, in determining whether an amount is

included in the assessable income of the lender under a provision of this Act

other than Part IIIA, the lender is to be treated as if:

  (a)  the lender had held the borrowed security at all relevant times during

the borrowing period; and

  (b)  the right or option had been issued directly to the lender in respect

of the borrowed security; and

  (c)  the the lender had disposed of the right or option immediately after

its issue for a consideration equal to the compensatory payment.

 "(4B) If the lender receives a compensatory payment covered by

sub-subparagraph (3) (c) (vi) (C), then, in determining whether an amount is

included in the assessable income of the lender under a provision of this Act

other than Part IIIA, the lender is to be treated as if:

  (a)  the lender had held the right or option at all relevant times during

the borrowing period; and

  (b)  the lender had exercised the right or option; and

  (c)  the lender had immediately disposed of the shares, units, bonds,

debentures or financial instruments that resulted from exercising the right or

option for a consideration equal to the compensatory payment.";

  (g)  by omitting from subparagraph (6) (b) (i) all the words after "of that

Part" and substituting the following word and sub-subparagraphs:

     "if:

       (A)  the lender had disposed of the borrowed security

immediately before the acquisition of the replacement security; and

       (B)  that Part had applied in respect of the disposal of

the borrowed security by the lender; or";

  (h) by omitting subsection (7) and substituting the following subsection:

 "(7) If, in the case of a borrowed security to which paragraph (6) (b)

applies, the replacement security was disposed of by the lender (otherwise

than under a transaction covered by subsection (3)):

  (a)  if the disposal of the replacement security occurred within 12 months

after the earliest day on which a paired security in relation to the

replacement security was acquired by the lender (otherwise than under a

transaction covered by subsection (3)) - the reference in paragraph (6) (b) to

the indexed cost base to the lender of the borrowed security is to be read as

a reference to the cost base to the lender of the paired security; or

  (b)  if the disposal of the replacement security occurred not less than 12

months after the earliest day on which a paired security in relation to the

replacement security was acquired by the lender (otherwise than under a

transaction covered by subsection (3)) - subsection 160Z (3) does not apply to

the disposal of the replacement security.";

    (i)  by inserting after subsection (9) the following subsections:

 "(9A) Subject to subsection 160zh (6), a reference in subsection 160ZH (1),

(2) or (3) to the incidental costs to the borrower of the acquisition of an

eligible security covered by sub-subparagraph (3) (a) (ii) (B) includes a

reference to a compensatory payment incurred by the borrower.

 "(9B) For the purposes of the application of Part IIIA to a right or option

received by the lender as mentioned in subparagraph (3) (c) (v), the borrower

and lender are to be treated as if the eligible security in respect of which

the right or option was issued had been held by the lender at the time of the

acquisition of the right or option.

 "(9C) For the purposes of the application of Part IIIA to a share, unit,

bond, debenture or financial instrument received by the lender as mentioned in

subparagraph (3) (c) (vi), the borrower and the lender are to be treated as

if:

  (a)  the share, unit, bond, debenture or financial instrument had been

received as the result of the exercise of the borrowed security; and

  (b)  the borrowed security had been held by the lender at the time of the

exercise; and

  (c)  the lender had exercised the borrowed security; and

  (d)  the lender had exercised the borrowed security at the time the

direction concerned was given; and

  (e)  the amount of the contribution (if any) made by the lender to the

borrower in respect of the carrying out of the direction were an amount paid

as consideration by the lender in respect of the exercise.

 "(9D) If a distribution covered by subparagraph (3) (c) (i) consists of one

or more shares issued by a company to the borrower or to a third party in the

circumstances mentioned in subsection 6BA (1), then, for the purposes of the

applicaton of Part IIIA to a share (in this subsection called the `notional

bonus share') received by the lender in relation to the distribution in the

circumstances mentioned in sub-subparagraph (3) (c) (iv) (A) or (B), the

borrower and the lender are to be treated as if:

  (a)  the company had issued the notional bonus share to the lender instead

of the borrower or the third party, as the case requires; and

  (b)  the notional bonus share had been issued in the circumstances mentioned

in subsection 6BA (1); and

  (c)  the notional bonus share had been issued in respect of the borrowed

security; and

  (d)  the lender had held the borrowed security at the time the notional

bonus share was issued.

 "(9E) If a distribution covered by subparagraph (3) (c) (i) consists of one

or more units issued by the trustee of a unit trust to the borrower or to a

third party in the circumstances covered by section 160ZYC, then, for the

purposes of the application of Part IIIA to a unit (in this subsection called

the `notional bonus unit') received by the lender in relation to the

distribution in the circumstances mentioned in sub-subparagraph (3) (c) (iv)

            (A) or (B), the borrower and the lender are to be treated as if:

  (a)  the trustee had issued the notional bonus unit to the lender instead of

the borrower or the third party, as the case requires; and

  (b)  the notional bonus unit had been issued in the circumstances covered by

section 160ZYC; and

  (c)  the notional bonus unit had been issued in respect of the borrowed

security; and

  (d)  the lender had held the borrowed security at the time the notional

bonus unit was issued.

 "(9F) If the lender receives a compensatory payment covered by

sub-subparagraph (3) (c) (v) (C), then, for the purposes of the application of

Part IIIA to the lender, the lender is to be treated as if:

  (a)  the lender had held the borrowed security at all relevant times during

the borrowing period; and

  (b)  the right or option had been issued directly to the lender in respect

of the borrowed security; and

  (c)  the lender had disposed of the right or option immediately after its

issue for a consideration equal to the compensatory payment.

 "(9G) If the lender receives a compensatory payment covered by

sub-subparagraph (3) (c) (vi) (C), then, for the purposes of the application

of Part IIIA to the lender, the lender is to be treated as if:

  (a)  the lender had held the right or option at all relevant times during

the borrowing period; and

  (b)  the lender had exercised the right or option; and

  (c)  the lender had immediately disposed of the shares, units, bonds,

debentures or financial instruments that resulted from exercising the right or

option for a consideration equal to the compensatory payment.";

  (j)  by omitting from subsection (10) "or (9)" and substituting ",(9), (9A),

(9B), (9C), (9D), (9E), (9F) or (9G)";

  (k)  by omitting from subsection (11) "and (9)" and substituting ",(9),

(9A), (9B), (9C), (9D), (9E), (9F) and (9G)";

  (l)  by inserting after subsection (11) the following subsections:

   "(11A) If:

  (a)  the lender receives from the borrower a distribution or identical

property covered by subparagraph (3) (c) (iv); and

  (b)  assuming that the borrowed security had continued to be held by the

lender, an amount (in this subsection called the `otherwise assessable

amount') would have been included in the lender's assessable income of a year

of income in respect of the distribution concerned;

the lender's assessable income of the year of income includes an amount equal

to the otherwise assessable amount.

     "(11B) If:

  (a)  the lender receives from the borrower a compensatory payment covered by

sub-subparagraph (3) (c) (iv) (C); and

  (b)  assuming that the borrowed security had continued to be held by the

lender, an amount (in this subsection called the `otherwise assessable

amount') would have been included in the lender's assessable income of a year

of income in respect of the distribution concerned;

the lender's assessable income of the year of income includes an amount equal

to the otherwise assessable amount.".

 

TAXATION LAWS AMENDMENT ACT (No. 2) 1991No. 100, 1991

- SECT 26

Interpretation

 

  26. Section 27A of the Principal Act is amended by inserting after

subsection (14) the following subsection:

  "(14A) Where an amount paid to a taxpayer (in this subsection called the

`received amount'), being an ETP, an annuity or a payment made as a supplement

to an annuity, would, apart from section 24bb and assuming that:

  (a)  subsection 27C (1A) did not apply in relation to the received amount;

and

  (b)  no part of the received amount was taken to be applied in accordance

with section 27D;

be wholly or partly exempt from tax because of Division 1A, the following

provisions have effect:

  (c)  this Subdivision has effect in relation to the received amount as if:

    (i)  references in this Subdivision to 30 June 1983 were

references to 30 June 1991; and

    (ii)  references in this Subdivision (other than in

subparagraph (a) (iii) of the definition of `superannuation fund' in

subsection (1)) to 1 July 1983 were references to 1 July 1991;

  (d)  no amount is to be included in the assessable income of the taxpayer

under subsection 27C (1) in relation to the received amount.".

 

TAXATION LAWS AMENDMENT ACT (No. 2) 1991No. 100, 1991

- SECT 27

 

  27. Before section 44 of the Principal Act the following section is

inserted:

Subdivision has effect subject to section 160AQUA (transfer of shareholder

status for tax purposes)

"43A. This Subdivision has effect subject to section 160AQUA (which deals with

transfer of shareholder status for tax purposes in cases involving a

cum-dividend stock exchange sale or a securities lending arrangement).".

 

TAXATION LAWS AMENDMENT ACT (No. 2) 1991No. 100, 1991

- SECT 28

Distribution benefits - CFCs

 

  28. Section 47A of the Principal  Act is amended:

  (a)  by omitting subparagraph (10) (j) (ii) and substituting the following

subparagraph:

     "(ii)   if subparagraph (i) does not apply and there is

only one arrangement transfer - so much of the amount or market value of the

arrangement transfer as is attributable to the provision of the eligible

benefit; or";

  (b)  by omitting the definition of "Total Excess" in subparagraph (10) (j)

        (iii) and substituting the following definition:

" `Total Excess' means so much of the total amount or market value of all the

arrangement transfers as is attributable to the provision of the eligible

benefit;".

 

TAXATION LAWS AMENDMENT ACT (No. 2) 1991No. 100, 1991

- SECT 29

Bad debts of money-lenders not allowable deductions where

attributable to listed country branches

 

  29. Section 63D of the Principal Act is amended by omitting from subsection

(1) "so much of the deduction is allowable as equals the amount calculated"

and substituting "a proportion of the deduction is allowable, being the

proportion calculated".

 

TAXATION LAWS AMENDMENT ACT (No. 2) 1991No. 100, 1991

- SECT 30

Deduction of expenditure on prevention of land degradation

 

  30. Section 75D of the Principal Act is amended:

  (a)  by omitting subsection (1) and substituting the following subsections:

 "(1) Subject to this section, this section applies to expenditure of a

capital nature that meets the requirements set out in subsections (1A) and

(1B).

 "(1A) The expenditure must be incurred by a taxpayer:

  (a)  who carries on a business of primary production on any land (in this

section called the `subject land') in Australia; or

  (b)  who carries on a business, other than one of primary production or of

mining or quarrying, for the purpose of gaining or producing assessable income

from the use of any rural land (in this section also called the `subject

land') in Australia.

 "(1B) The expenditure must also be incurred in, or in an extension of, any of

the following operations:

  (a)  an operation primarily and principally for the purpose of the

eradication or extermination of animal or vegetable pests from the subject

land;

  (b)  an operation primarily and principally for the purpose of the

destruction of weed or plant growth detrimental to the subject land;

  (c)  an operation primarily and principally for the purpose of preventing or

combating land degradation otherwise than by the erection of fences on the

subject land;

  (d)  an operation consisting of the erection of fences (including any

extension, alteration or addition to fences) on the subject land primarily and

principally for the purpose of excluding live-stock or vermin from areas

affected by land degradation in order to prevent or limit any extension or

aggravation of land degradation in those areas and to assist in the

reclamation of those areas;

  (e)  an operation consisting of the erection of fences (including any

extension, alteration or addition to fences) to separate different land

classes on the subject land in accordance with an approved land management

plan in respect of the whole or part of the subject land;

  (f)  an operation consisting of the construction on the subject land of

levee banks or similar improvements having like uses;

  (g)  an operation (not being an operation consisting of the draining of

swamp or low-lying land) consisting of the construction on the subject land,

primarily and principally for the purpose of controlling salinity or assisting

in drainage control, of surface drainage works or sub-surface drainage

works.";

  (b)  by omitting from paragraph (3) (a) "(1) (d)" and substituting "(1B) (d)

or (e)";

  (c)  by omitting from paragraph (6) (b) "referred to in subsection (1) or an

extension of such an operation" and substituting "or extension referred to in

subsection (1B)";

  (d)  by omitting from paragraph (7) (a) "of a kind referred to in subsection

(1) or an extension of such an operation" and substituting "or extension of a

kind referred to in subsection (1B)";

  (e)  by omitting from paragraph (7) (b) "primary production" and

substituting "a kind referred to in paragraph (1A) (a) or (b)";

  (f)  by omitting from paragraphs (9) (a), (10) (a) and (11) (a) "subsection

(1)" and substituting "subsection (1B)";

  (g)  by adding at the end the following subsections:

 "(14) In this section, a reference to an approved land management plan, in

relation to land, is a reference to a land management plan in relation to the

land that:

  (a)  has been prepared by:

    (i)  an officer of a land conservation agency having

authority for the preparation of such plans; or

    (ii)  an approved farm consultant; or

  (b)  has been approved in writing by:

    (i)  an officer of a land conservation agency with

authority to do so; or

    (ii)  an approved farm consultant;

as being a suitable land management plan for the land.

 "(15) For the purposes of subsection (14), a person is an approved farm

consultant only if an approval under this section of the person as a farm

consultant is in force.

 "(16) The following persons may, in writing, approve a person as a farm

consultant for the purposes of this section:

  (a)  the Secretary to the Department of Primary Industries and Energy;

  (b)  an officer of that Department authorised in writing by its Secretary

for the purpose of giving such approvals.

 "(17) In deciding whether to approve a person as a farm consultant, the

following matters are to be taken into account:

  (a)  the qualifications, experience and knowledge of the person in relation

to land conservation and farm management;

  (b)  the standing of the person in the professional community;

  (c)  any other relevant matters.

 "(18) Subject to the Administrative Appeals Tribunal Act 1975, applications

may be made to the Tribunal by a person for review of a decision under

subsection (16):

  (a)  to refuse approval of the person as a farm consultant; or

  (b)  to revoke the approval of the person as a farm consultant.

 "(19) In this section:

`decision' has the same meaning as in the Administrative Appeals Tribunal Act

1975;

`land conservation agency' means a State or Territory Government department,

or authority, that has responsibility for land conservation;

`land management plan' means a plan for an area of land indicating:

  (a)  different land classes comprising the land; and

  (b)  the location of any fencing that would be required to separate any of

the land classes primarily and principally in order to prevent land

degradation;

together with, or including, a description of the kind of fencing and how it

would prevent land degradation.".

 

TAXATION LAWS AMENDMENT ACT (No. 2) 1991No. 100, 1991

- SECT 31

Gifts, pensions etc.

 

  31. Section 78 of the Principal Act is amended by inserting in subparagraph

(1) (a) (xxiv) "Royal" before "College".

 

TAXATION LAWS AMENDMENT ACT (No. 2) 1991No. 100, 1991

- SECT 32

Rebates for residents of isolated areas

 

  32. Section 79A of the Principal Act is amended by omitting the definition

of "prescribed allowance" in subsection (4) and substituting the following

definition:

" `prescribed allowance' means so much of a payment under the Social Security

Act 1991 or the Veterans' Entitlements Act 1986 as was included in the payment

by way of remote area allowance;".

 

TAXATION LAWS AMENDMENT ACT (No. 2) 1991No. 100, 1991

- SECT 33

Interpretation

 

  33. Section 82KH of the Principal Act is amended:

  (a)  by omitting from subsection (1BA) all the words after "any part of

that" and substituting "eligible relevant expenditure, sections 79E, 79F, 80,

80AAA and 80AA are to be applied on the basis that the amount of eligible

relevant expenditure is an amount of relevant expenditure but is not an amount

of eligible relevant expenditure.";

  (b) by omitting from paragraph (1G) (s) "or (t)";

  (c) by adding at the end of paragraph (1G) (s) "and";

  (d) by omitting paragraph (1G) (t);

  (e) by omitting from paragraph (1JE) (b) "or (t)";

  (f) by omitting paragraph (1L) (t).

 

TAXATION LAWS AMENDMENT ACT (No. 2) 1991No. 100, 1991

- SECT 34

Payment of interest by taxpayer on distributions from certain

non-resident trust estates

 

  34. Section 102AAM the Principal Act is amended by omitting from paragraph

(1) (c) "the distributed amount is" and substituting "so much of the

distributed amount as is not a rebatable section 99B amount for the purposes

of section 102AAN is".

 

TAXATION LAWS AMENDMENT ACT (No. 2) 1991No. 100, 1991

- SECT 35

Persons to whom Division applies

 

  35. Section 102AC of the Principal Act is amended:

  (a) by omitting from subparagraph (2) (c) (i) "1947" and substituting

"1991";

  (b) by omitting from sub-subparagraph (2) (d) (i) (A) "Part XII of the

Social Security Act 1947" and substituting "Part 2.19 of the Social Security

Act 1991";

  (c) by omitting from sub-subparagraph (2) (d) (i) (B) "Division 3 of Part IV

of the Social Security Act 1947" and substituting "Part 2.3 of the Social

Security Act 1991";

  (d) by omitting from paragraph (2) (e) "orphan's" and substituting

"orphan";

  (e) by omitting from paragraph (2) (e) "1947" and substituting "1991";

  (f) by omitting from paragraph (2) (f) "subsection 95 (2) of the Social

Security Act 1947, a double orphan's" and substituting "section 1003 of the

Social Security Act 1991, a double orphan";

  (g) by omitting from paragraph (3) (a) "orphan's" and substituting

"orphan";

  (h) by omitting from paragraph (3) (a) "subsection 95 (2) of the Social

Security Act 1947" and substituting "section 1003 of the Social Security Act

1991".

 

TAXATION LAWS AMENDMENT ACT (No. 2) 1991No. 100, 1991

- SECT 36

Disposal, loss, destruction or termination of use of property

 

  36. Section 122K of the Principal Act is amended:

  (a) by inserting in subsection (4) the following definition: "

`rehabilitation-related activities' has the same meaning as in Division

10AB;";

  (b) by adding at the end the following subsections:

 "(5) For the purposes of subsection (1), use of property by a taxpayer is

taken to be use for prescribed purposes if:

  (a)  the use is on or after 1 July 1991; and

  (b)  the use is for rehabilitation-related activities in relation to a site

on which the taxpayer conducted:

    (i)  prescribed mining operations within the meaning of

Subdivision A; or

    (ii)  activities in respect of which a deduction is

allowable, or has been allowed, under section 122J; and

  (c)  either of the following conditions is satisfied:

    (i)  the property is plant or articles for the purposes of

section 54;

    (ii)  the property is housing and welfare within the

meaning of Subdivision A.

 "(6) For the purposes of subsection (1), use of property by a taxpayer is

taken to be use for eligible purposes if:

  (a)  the use is on or after 1 July 1991; and

  (b)  the use is for rehabilitation-related activities in relation to a site

on which the taxpayer conducted activities in respect of which a deduction is

allowable, or has been allowed, under section 122JF; and

  (c)  the property is plant or articles for the purposes of section 54.

 "(7) A reference in subsection (5) or (6) to use of property by a taxpayer

for a particular purpose includes a reference to the holding in reserve of

property owned by the taxpayer which has been installed ready for use for that

purpose.".

 

TAXATION LAWS AMENDMENT ACT (No. 2) 1991No. 100, 1991

- SECT 37

 

  37. After section 122K of the Principal Act the following section is

inserted:

Application of section 122K before 1 July 1991 - subsequent use of property

for rehabilitation

  "122KA. (1) This section applies to property if:

  (a)  either of the following conditions is satisfied:

    (i)  the property is plant or articles for the purposes of

section 54;

    (ii)  the property is housing and welfare within the

meaning of Subdivision A; and

  (b)  section 122K has applied in respect of the termination of use of the

property; and

  (c)  the date of the termination (in this section called the `section 122K

termination date') was before 1 July 1991; and

  (d)  no deduction is allowable, or has been allowed, in respect of the use

of the property that occurred in the period commencing on the section 122K

termination date and ending on 30 June 1991; and

  (e)  the taxpayer commences to use the property for rehabilitation-related

activities on the day after the section 122K termination date; and

  (f)  the taxpayer has not ceased to use the property for

rehabilitation-related activities before 1 July 1991.

  "(2) For the purposes of this section, the estimated eligible rehabilitation

period is the period:

  (a)  commencing on 1 July 1991; and

  (b)  ending on the day on which, as at 1 July 1991, it is estimated that the

property will cease to be used by the taxpayer for rehabilitation-related

activities.

  "(3) If, having regard to information in the Commissioner's possession, the

Commissioner is not satisfied that the estimate is a reasonable estimate, the

estimated eligible rehabilitation period is taken to end on such day as the

Commissioner considers reasonable.

  "(4) For the purposes of this section, the estimated total rehabilitation

period is the period:

  (a)  commencing on the day after the section 122K termination date; and

  (b)  ending at the end of the estimated eligible rehabilitation period.

  "(5) For the purposes of this section, the actual eligible rehabilitation

period is the period:

  (a)  commencing on 1 July 1991; and

  (b)  ending on the day on which the property is disposed of, lost or

destroyed, or the use of which by the taxpayer for rehabilitation-related

activities has been otherwise terminated.

  "(6) For the purposes of this section, the actual total rehabilitation

period is the period:

  (a)  commencing on the day after the section 122K termination date; and

  (b)  ending at the end of the actual eligible rehabilitation period.

  "(7) An amount calculated using the following formula is allowable as a

deduction to the taxpayer for each year of income any part of which occurs

during both the actual eligible rehabilitation period and the estimated

eligible rehabilitation period:

                                Eligible rehabilitation days

          Capital amount    x             in year

                                   Days in estimated total

                                   rehabilitation period

where:

`Capital amount' means the capital amount in relation to the property;

`Eligible rehabilitation days in year' means the number of days in so much of

the year of income as occurs during both of the actual eligible rehabilitation

period and the estimated eligible rehabilitation period;

`Days in estimated total rehabilitation period' means the number of days in

the estimated total rehabilitation period.

  "(8) Subsections (9) and (10) apply in relation to a year of income if:

  (a)  deductions are allowable, or have been allowed, under subsection (7) in

respect of the property; and

  (b)  the actual eligible rehabilitation period ends in the year of income.

  "(9) The amount (if any) calculated using the following formula is an

allowable deduction to the taxpayer for the year of income:

   Capital      Actual eligible rehabilitation days     Deductions

   amount   x        Days in actual total           -   previously

                     rehabilitation period              allowed

where:

`Capital amount' means the capital amount in relation to the property;

`Actual eligible rehabilitation days' means the number of days in the actual

eligible rehabilitation period;

`Days in actual total rehabilitation period' means the number of days in the

actual total rehabilitation period;

`Deductions previously allowed' means the total deductions that are allowable,

or have been allowed, under subsection (7) in respect of the property.

  "(10) The amount (if any) calculated using the following formula is included

in the assessable income of the taxpayer of the year of income:

                      Actual eligible rehabilitation days

   Final value   x          Days in actual total

                            rehabilitation period

where:

`Final value' means  whichever of the following amounts is applicable in

relation to the property:

  (a)  in the case of the disposal, loss or destruction of the property - the

consideration receivable in respect of the disposal, loss or destruction; or

  (b)  in the case of other termination of the use of the property - the value

of the property at the end of the actual eligible rehabilitation period;

`Actual eligible rehabilitation days' means the number of days in the actual

eligible rehabilitation period;

`Days in actual total rehabilitation period' means the number of days in the

actual total rehabilitation period.

  "(11) A reference in this section to use of property by a taxpayer for a

particular purpose includes a reference to the holding in reserve of property

owned by the taxpayer which has been installed ready for use for that

purpose.

  "(12) In this section:

`actual eligible rehabilitation period' has the meaning given by subsection

(5);

`actual total rehabilitation period' has the meaning given by subsection (6);

`capital amount', in relation to property, means the lesser of:

  (a)  the total expenditure of a capital nature of the taxpayer in respect of

the property; and

  (b)  the value of the property as at the section 122K termination date;

`estimated eligible rehabilitation period' has the meaning given by subsection

(2);

`estimated total rehabilitation period' has the meaning given by subsection

(4);

`rehabilitation-related activities' has the same meaning as in Division 10AB;

`section 122K termination date' has the meaning given by subsection (1).".

 

TAXATION LAWS AMENDMENT ACT (No. 2) 1991No. 100, 1991

- SECT 38

Disposal, loss, destruction or termination of use of property

 

  38. Section 124AM of the Principal Act is amended by adding at the end the

following subsections:

  "(8) For the purposes of subsection (1), use of property by a taxpayer is

taken to be use for purposes of carrying on prescribed petroleum operations or

of exploring or prospecting for petroleum if:

  (a)  the use is on or after 1 July 1991; and

  (b)  the use is for rehabilitation-related activities in relation to a site

on which the taxpayer conducted:

    (i)  prescribed petroleum operations within the meaning of

subsection 124 (1); or

    (ii)  activities in respect of which a deduction is

allowable, or has been allowed, under section 124AH; and

  (c)  either of the following conditions is satisfied:

    (i)  the property is plant or articles for the purposes of

section 54;

    (ii)  expenditure on the property is covered by paragraph

124AA (2) (c), (d) or (e).

  "(9) A reference in subsection (8) to use of property by a taxpayer for a

particular purpose includes a reference to the holding in reserve of property

owned by the taxpayer which has been installed ready for use for that

purpose.

  "(10) In this section:

`rehabilitation-related activities' has the same meaning as in Division

10AB.".

 

TAXATION LAWS AMENDMENT ACT (No. 2) 1991No. 100, 1991

- SECT 39

 

  39. After section 124AM of the Principal Act the following section is

inserted: Application of section 124AM before 1 July 1991 - subsequent use of

property for rehabilitation

  "124AMA. (1) This section applies to property if:

  (a)  either of the following conditions is satisfied:

    (i)  the property is plant or articles for the purposes of

section 54;

    (ii)  expenditure on the property is covered by paragraph

124AA (2) (c), (d) or (e); and

  (b)  section 124AM has applied in respect of the termination of use of the

property; and

  (c)  the date of the termination (in this section called the `section 124AM

termination date') was before 1 July 1991; and

  (d)  no deduction is allowable, or has been allowed, in respect of the use

of the property that occurred in the period commencing on the section 124AM

termination date and ending on 30 June 1991; and

  (e)  the taxpayer commences to use the property for rehabilitation-related

activities on the day after the section 124AM termination date; and

  (f)  the taxpayer has not ceased to use the property for

rehabilitation-related activities before 1 July 1991.

  "(2) For the purposes of this section, the estimated eligible rehabilitation

period is the period:

  (a)  commencing on 1 July 1991; and

  (b)  ending on the day on which, as at 1 July 1991, it is estimated that the

property will cease to be used by the taxpayer for rehabilitation-related

activities.

  "(3) If, having regard to information in the Commissioner's possession, the

Commissioner is not satisfied that the estimate is a reasonable estimate, the

estimated eligible rehabilitation period is taken to end on such day as the

Commissioner considers reasonable.

  "(4) For the purposes of this section, the estimated total rehabilitation

period is the period:

  (a)  commencing on the day after the section 124AM termination date; and

  (b)  ending at the end of the estimated eligible rehabilitation period.

  "(5) For the purposes of this section, the actual eligible rehabilitation

period is the period:

  (a)  commencing on 1 July 1991; and

  (b)  ending on the day on which the property is disposed of, lost or

destroyed, or the use of which by the taxpayer for rehabilitation-related

activities has been otherwise terminated.

  "(6) For the purposes of this section, the actual total rehabilitation

period is the period:

  (a)  commencing on the day after the section 124am termination date; and

  (b)  ending at the end of the actual eligible rehabilitation period.

  "(7) An amount calculated using the following formula is allowable as a

deduction to the taxpayer for each year of income any part of which occurs

during both the actual eligible rehabilitation period and the estimated

eligible rehabilitation period:

                       Eligible rehabilitation days

   Capital amount x            in year

                          Days in estimated total

                           rehabilitation period

where:

`Capital amount' means the capital amount in relation to the property;

`Eligible rehabilitation days in year' means the number of days in so much of

the year of income as occurs during both of the actual eligible rehabilitation

period and the estimated eligible rehabilitation period;

`Days in estimated total rehabilitation period' means the number of days in

the estimated total rehabilitation period.

  "(8) Subsections (9) and (10) apply in relation to a year of income if:

  (a)  deductions are allowable, or have been allowed, under subsection (7) in

respect of the property; and

  (b)  the actual eligible rehabilitation period ends in the year of income.

  "(9) The amount (if any) calculated using the following formula is an

allowable deduction to the taxpayer for the year of income:

   Capital      Actual eligible rehabilitation days     Deductions

   amount   x        Days in actual total           -   previously

                     rehabilitation period              allowed

where:

`Capital amount' means the capital amount in relation to the property;

`Actual eligible rehabilitation days' means the number of days in the actual

eligible rehabilitation period;

`Days in actual total rehabilitation period' means the number of days in the

actual total rehabilitation period;

`Deductions previously allowed' means the total deductions that are allowable,

or have been allowed, under subsection (7) in respect of the property.

  "(10) The amount (if any) calculated using the following formula is included

in the assessable income of the taxpayer of the year of income:

                Actual eligible rehabilitation days

Final value  x           Days in actual total

                         rehabilitation period

where:

`Final value' means  whichever of the following amounts is applicable in

relation to the property:

  (a)  in the case of the disposal, loss or destruction of the property - the

consideration receivable in respect of the disposal, loss or destruction; or

  (b)  in the case of other termination of the use of the property - the value

of the property at the end of the actual eligible rehabilitation period;

`Actual eligible rehabilitation days' means the number of days in the actual

eligible rehabilitation period;

`Days in actual total rehabilitation period' means the number of days in the

actual total rehabilitation period.

  "(11) A reference in this section to use of property by a taxpayer for a

particular purpose includes a reference to the holding in reserve of property

owned by the taxpayer which has been installed ready for use for that

purpose.

  "(12) Where an amount is included in the assessable income of a taxpayer

under subsection (10), the amount is taken to be assessable income from

petroleum.

  "(13) In this section:

`actual eligible rehabilitation period' has the meaning given by subsection

(5);

`actual total rehabilitation period' has the meaning given by subsection (6);

`capital amount', in relation to property, means the lesser of:

  (a)  the total expenditure of a capital nature of the taxpayer in respect of

the property; and

  (b)  the value of the property as at the section 124AM termination date;

`estimated eligible rehabilitation period' has the meaning given by subsection

(2);

`estimated total rehabilitation period' has the meaning given by subsection

(4);

`rehabilitation-related activities' has the same meaning as in Division 10AB;

`section 124AM termination date' has the meaning given by subsection (1).".

 

TAXATION LAWS AMENDMENT ACT (No. 2) 1991No. 100, 1991

- SECT 40

 

  40. After section 124AQ of the Principal Act the following Division is

inserted:

    "Division 10AB - Rehabilitation and Restoration of Mining,

                  Quarrying and Petroleum Sites

Interpretation

  "124B. In this Division:

`extractive activities' means:

  (a)  eligible exploration or prospecting activities; or

  (b)  eligible quarrying operations within the meaning of Subdivision B of

Division 10; or

  (c)  prescribed mining operations within the meaning of Subdivision A of

Division 10; or

  (d)  prescribed petroleum operations within the meaning of Division 10AA;

`eligible exploration or prospecting activities' means activities in respect

of which a deduction is allowable, or has been allowed, under section 122J,

122JF or 124AH; `housing and welfare' means:

  (a)  residential accommodation; or

  (b)  health, educational, recreational or other similar facilities; or

  (c)  facilities for the provision of meals;

and includes works carried out directly in connection with such accommodation

or facilities (including works for the provision of water, light, power,

access or communications);

`land' includes:

  (a)  a legal or equitable estate or interest in land; or

  (b)  a right, power or privilege over, or in connection with, land;

`predecessor' means a predecessor, whether immediate or otherwise;

`rehabilitation-related activities' has the meaning given by section 124BB;

`restore' includes rehabilitate.

Deduction of expenditure on rehabilitation-related activities

  "124BA. (1) Subject to this Division, expenditure (whether of a capital

nature or otherwise) incurred by a taxpayer on or after 1 July 1991, to the

extent to which the expenditure is in respect of rehabilitation-related

activities, is an allowable deduction for the year of income in which the

expenditure is incurred.

  "(2) A provision of this Act (including a provision of section 51) that

expressly prevents or restricts the operation of section 51 applies in the

same way to this section.

Rehabilitation-related activity

  "124BB. (1) A reference in this Division to a rehabilitation-related

activity in relation to a taxpayer is a reference to the restoration of a site

on which the taxpayer conducted extractive activities to, or to a reasonable

approximation of, the pre-mining condition of the site.

  "(2) A reference in this section to the pre-mining condition of a site is a

reference to the condition the site was in before extractive activities were

first commenced on the site, whether by the taxpayer or by a predecessor of

the taxpayer.

No deduction for certain expenditure

  "124BC. (1) A deduction is not allowable under section 124BA for expenditure

in respect of:

  (a)  property, being plant or articles for the purposes of section 54; or

  (b)  acquiring land; or

  (c)  constructing buildings or other structures; or

  (d)  a bond or security, however described, for the performance of

rehabilitation-related activities.

  "(2) A deduction is not allowable under section 124BA for expenditure of a

capital nature in respect of housing and welfare.

No deduction where expenditure is recouped

  "124BD. (1) Section 124ba does not apply, and is to be taken never to have

applied, to expenditure where both of the following conditions are satisfied:

  (a)  the taxpayer is recouped, or becomes entitled to be recouped, in

respect of the expenditure;

  (b)  the amount of the recoupment is not, and will not be, included in the

assessable income of the taxpayer of any year of income.

  "(2) Where a taxpayer receives, or becomes entitled to receive, an amount

that constitutes to an unspecified extent a recoupment of expenditure, the

Commissioner may, for the purposes of subsection (1), determine the extent to

which that amount constitutes a recoupment of that expenditure.

  "(3) Section 170 does not prevent the amendment of an assessment at any time

for the purpose of giving effect to this section.

Transactions between persons not at arm's length

  "124BE. If:

  (a)  a person has incurred expenditure in connection with a transaction

where the parties to the transaction are not dealing with each other at arm's

length in relation to the transaction; and

  (b)  deductions are or have been allowable under this Division in respect of

the expenditure; and

  (c)  the amount of the expenditure is greater or less than is reasonable;

the amount of the expenditure is taken, for all purposes of the application of

this Act in relation to the parties to the transaction, to be the amount that

would have been reasonable if the parties were dealing with each other at

arm's length.

Property used for rehabilitation-related activities taken to be used for the

purpose of producing assessable income

  "124BF. (1) For the purposes of this Act, where property is used by a

taxpayer on or after 1 July 1991 for rehabilitation-related activities, that

use of the property by the taxpayer is taken to be for the purpose of

producing assessable income of the taxpayer.

  "(2) Subsection (1) has effect subject to a provision of this Act that

expressly provides that a particular use of property is not taken to be for

the purpose of producing assessable income.".

 

TAXATION LAWS AMENDMENT ACT (No. 2) 1991No. 100, 1991

- SECT 41

Foreign debt

 

  41. Section 159GZF of the Principal Act is amended:

  (a)  by omitting from subsection (1) "(not including, in the case of a

financial institution, a nostro amount)";

  (b)  by omitting from paragraph (1) (c) "becomes payable." and substituting

"becomes payable;";

  (c)  by inserting after paragraph (1) (c) the following words and

paragraphs:

"reduced by sum of:

  (d)  if the company is a financial institution - nostro amounts; and

  (e)  section 128F debenture amounts owing by the company.".

 

TAXATION LAWS AMENDMENT ACT (No. 2) 1991No. 100, 1991

- SECT 42

Foreign equity

 

  42. Section 159GZG of the Principal Act is amended by inserting in

subparagraph (1) (d) (ii) "owing to the company" after "amounts".

 

TAXATION LAWS AMENDMENT ACT (No. 2) 1991No. 100, 1991

- SECT 43

Section 128F debenture amounts

 

  43. Section 159GZJA of the Principal Act is amended:

  (a)  by inserting "owing to the company" after "debenture amount";

  (b)  by adding at the end the following subsection:

 "(2) For the purposes of this Division, an amount owing by a company as at a

particular time is a section 128F debenture amount owing by the company if all

of the following paragraphs apply:

  (a)  the amount is owing by the company to a foreign controller, or a

non-resident associate of a foreign controller, of the company (which foreign

controller or associate is in this section called the `debenture holder');

  (b)  the amount is owing in respect of a debenture issued by the company to

the debenture holder not earlier than 30 days before that time;

  (c)  the debenture was issued to the debenture holder for the purpose of

enabling the debenture holder to dispose of the debenture outside Australia;

  (d)  the debenture holder disposes of the debenture within 30 days after the

issue of the debenture;

  (e)  section 128F applies, or will apply, to any interest paid by the

company in respect of the debenture;

  (f)  no interest has become, or will become, due and payable by the company

to the debenture holder in respect of the debenture.".

 

TAXATION LAWS AMENDMENT ACT (No. 2) 1991No. 100, 1991

- SECT 44

Adjustment of foreign equity in certain cases involving

resident holding companies of financial institutions

 

  44. Section 159GZLA of the Principal Act is amended:

  (a)  by adding at the end of subparagraph (1) (c) (ii) "(other than amounts

owing to a resident associate of the resident holding company)" after

"payable";

  (b)  by adding at the end of subsection (1) the following paragraph:

  "(f)   if, apart from this subsection, at the end of the year of income, the

resident holding company owes one or more amounts to a resident associate of

the resident holding company (being an amount in respect of which interest is

or may become payable), then, the foreign equity in relation to the resident

financial company in relation to the year of income is reduced by the amount,

or the sum of the amounts, so owing.".

 

TAXATION LAWS AMENDMENT ACT (No. 2) 1991No. 100, 1991

- SECT 45

 

  45. After section 159GZLA of the Principal Act the following section is

inserted:

Transition to wholly-owned banking group - resident company group and

adjustment of foreign equity

  "159GZLB. (1) This section applies in relation to a resident company (in

this section called the `resident financial company') in relation to a year of

income (in this section called the `transitional year'), where all of the

following conditions are satisfied:

  (a)  at all times during the transitional year when the resident financial

company was in existence, the resident financial company was a bank within the

meaning of the Banking Act 1959;

  (b)  at all times during the transitional year when the resident financial

company was in existence, the same foreign controller in relation to the

resident financial company was the sole foreign controller in relation to the

resident financial company;

  (c)  at all times during the transitional year when the resident financial

company was in existence, all of the following subparagraphs apply in relation

to another resident company (in this section called the `resident holding

company'):

    (i)  the resident holding company is not a financial

institution;

    (ii)  there is no amount owing by the resident holding

company in respect of which interest is or may become payable (other than

amounts owing to a resident associate of the resident holding company);

    (iii)  all of the shares in the resident holding company

are beneficially owned by the foreign controller or by the foreign controller

and an associate, or associates, of the foreign controller;

  (d)  at all times during a particular period:

    (i)  commencing at whichever is the later of:

       (A)  the start of the transitional year; and

       (B)  the time when the resident financial company came into

existence; and

    (ii)  ending before the end of the transitional year;

when the resident financial company was in existence, some, but not all, of

the shares in the resident financial company are beneficially owned by the

resident holding company;

  (e)  at all times during the remainder of the transitional year when the

resident financial company was in existence, all of the shares in the resident

financial company are beneficially owned by the resident holding company.

  "(2) For the purposes of subparagraph 159GZLA (1) (c) (iv), some, but not

all, of the shares in the resident financial company are taken to be

beneficially owned by the resident holding company at all times during the

transitional year when the resident financial company was in existence.

  "(3) For the purposes of this Division, the resident financial company and

the resident holding company are taken to be members of a resident company

group in relation to the transitional year.

  "(4) Subject to subsection (5), for the purposes of this section, a company

is taken to be in existence if it has been incorporated and has not been

dissolved.

  "(5) For the purposes of this section, if a company was dormant (within the

meaning of Part VI of the Companies Act 1981) at all times during a period (in

this subsection called the `dormant period') commencing at the time of its

incorporation, the company is taken not to have been in existence during the

dormant period.".

 

TAXATION LAWS AMENDMENT ACT (No. 2) 1991No. 100, 1991

- SECT 46

Rebates for dependants

 

  46. Section 159J of the Principal Act is amended:

  (a) by inserting "or a special needs invalid pension" after "invalid

pension" in paragraph (a) of the definition of "invalid relative" in

subsection (6);

  (b) by omitting "1947" from paragraph (a) of the definition of "invalid

relative" in subsection (6) and substituting "1991";

  (c) by omitting "Part IV" from paragraph (c) of the definition of "invalid

relative" in subsection (6) and substituting "Part 2.3";

  (d) by omitting "1947" from paragraph (a) of the definition of "separate net

income" in subsection (6) and substituting "1991".

 

TAXATION LAWS AMENDMENT ACT (No. 2) 1991No. 100, 1991

- SECT 47

Housekeeper

 

  47. Section 159L of the Principal Act is amended by omitting "1947"

(wherever occurring) and substituting "1991".

 

TAXATION LAWS AMENDMENT ACT (No. 2) 1991No. 100, 1991

- SECT 48

Interpretation

 

  48. Section 159ZR of the Principal Act is amended:

  (a) by omitting "or" from the end of paragraph (d) of the definition of

"eligible income" in subsection (1);

  (b) by omitting paragraph (e) of the definition of "eligible income" in

subsection (1) and substituting the following paragraphs:

.    "(e)   a payment that is covered by Division 1AA, but that is not exempt

from income tax under that Division; or

.    (f)  a payment under a law of a foreign country that is similar to a

payment covered by paragraph (e);".

 

TAXATION LAWS AMENDMENT ACT (No. 2) 1991No. 100, 1991

- SECT 49

Rebate in respect of certain pensions, benefits etc.

 

  49. Section 160AAA of the Principal Act is amended:

  (a) by omitting "Part XIII of the Social Security Act 1947 " from paragraph

        (a) of the definition of "rebatable benefit" in subsection (1) and

substituting "Part 2.11, 2.12 or 2.14 of the Social Security Act 1991";

  (b) by omitting "or" from the end of paragraph (d) of the definition of

"rebatable benefit" in subsection (1);

  (c) by omitting paragraph (e) of the definition of "rebatable benefit" in

subsection (1);

  (d) by omitting paragraph (b) of the definition of "rebatable pension" in

subsection (1) and substituting the following paragraph:

     "(b)   the Social Security Act 1991 (other than Part

2.11, 2.12 or 2.14).".

 

TAXATION LAWS AMENDMENT ACT (No. 2) 1991No. 100, 1991

- SECT 50

 

  50. After section 160ABB of the Principal Act the following section is

inserted:

Rebate for certain Cocos (Keeling) Islands income - 1991-92

  "160ACE. (1) Where the amount of tax that would, apart from this section, be

payable by a taxpayer (not being a company other than a company in the

capacity of trustee) in respect of income of the 1991-92 year of income

exceeds the amount of tax that would be so payable by the taxpayer in respect

of income of that year of income if:

  (a)  section 24BB had not been enacted; and

  (b)  section 24BA had applied in relation to that year of income;

the taxpayer is entitled, in the taxpayer's assessment in respect of income of

that year of income, to a rebate of tax of an amount equal to 50% of the

amount of the excess.

  "(2) This section does not apply to an assessment under subsection 98 (3) or

(4).".

 

TAXATION LAWS AMENDMENT ACT (No. 2) 1991No. 100, 1991

- SECT 51

Credits in respect of foreign tax

 

  51. Section 160AF of the Principal Act is amended by omitting subsection

(6).

 

TAXATION LAWS AMENDMENT ACT (No. 2) 1991No. 100, 1991

- SECT 52

Interpretation

 

  52. (1) Section 160APA of the Principal Act is amended by omitting "24BA

        (a)" from paragraph (e) of the definition of "frankable dividend" and

substituting "24BB (a)".

  (2) Section 160APA of the Principal Act is amended:

  (a)  by inserting ", in writing," after "form approved" in the definition of

"approved form";

  (b) by adding ", 160AQUB, 160AQUC or 160AQUD" at the end of the definition

of "dividend statement";

  (c) by inserting the following definitions:

"`borrower', in relation to a securities lending arrangement, has the meaning

given by subsection 26BC (3);

`borrowing period', in relation to a securities lending arrangement, has the

meaning given by subsection 26BC (3);

`lender', in relation to a securities lending arrangement, has the meaning

given by subsection 26BC (3);

`securities dealer' has the same meaning as in section 202A;

`securities lending arrangement' means an agreement covered by subsection 26BC

(3);".

 

TAXATION LAWS AMENDMENT ACT (No. 2) 1991No. 100, 1991

- SECT 53

 

  53. After section 160AQU of the Principal Act the following Division is

inserted:

    "Division 6A - Transfer of Shareholder Status for Tax Purposes

Transfer of shareholder status for tax purposes-cum-dividend stock exchange

sales and securities lending arrangements

  "160AQUA. (1) If:

  (a)  a franked dividend is paid to a shareholder in a company (in this

section called the `first shareholder') in respect of a share in the company

(including a dividend that is taken to be paid as a result of one or more

previous applications of this section); and

  (b)  either of the following conditions is satisfied:

    (i)  at the dividend closing time, the first shareholder

was under an obligation to transfer the share to another taxpayer (in this

section called the `transferee') under a contract for the sale of the share

where:

       (A)  the contract is of the kind known as a `cum-dividend'

contract; and

       (B)  the contract was entered into in the ordinary course

of trading on a stock exchange in Australia or elsewhere;

    (ii)  all of the following conditions are satisfied:

       (A)  at the time the dividend was paid, the first

shareholder was under an obligation to pay the dividend to the lender under a

securities lending arrangement;

       (B)  the obligation was incurred in the first shareholder's

capacity as the borrower under the securities lending arrangement;

       (C)  the dividend closing time occurred during the

borrowing period;

then, for the purposes of Subdivision D of Division 2 of Part III and of this

Part (other than Divisions 4 and 5 and sections 160AQCB and 160ARX), the

dividend is taken to be a dividend paid to the transferee or the lender, as

the case may be, as a shareholder in the company instead of to the first

shareholder.

  "(2) For the purposes of this section, if dividends are paid to those

taxpayers who were shareholders as at a particular time at or before the

payment, that time is the dividend closing time in relation to those

dividends.

Securities dealer to give dividend statement to other party-cum-dividend sale

  "160AQUB. If:

  (a)  section 160AQUA applies in relation to a dividend covered by

subparagraph 160aqua (1) (b) (i) (whether the application is the sole or final

application or an earlier application of that section); and

  (b)  a securities dealer has acted for a particular party to the contract

concerned;

the securities dealer must, as soon as practicable after the payment of the

dividend, give to the other party to the contract a statement in the approved

form setting out such information in relation to the dividend as is required

by the approved form to be set out.

No securities dealer - party to cum-dividend sale contract to give dividend

statement to other party

  "160AQUC. If:

  (a)  section 160AQUA applies in relation to a dividend covered by

subparagraph 160AQUA (1) (b) (i) (whether the application is the sole or final

application or an earlier application of that section); and

  (b)  a particular party to the contract concerned has not had a securities

dealer acting for him or her;

the party must, as soon as practicable after the payment of the dividend, give

to the other party to the contract a statement in the approved form setting

out such information in relation to the dividend as is required by the

approved form to be set out.

Borrower under a securities lending arrangement to give dividend statement to

lender

  "160AQUD. If section 160AQUA applies in relation to a dividend covered by

subparagraph 160AQUA (1) (b) (ii) (whether the application is the sole or

final application or an earlier application of that section), the borrower

must, as soon as practicable after the payment of the dividend, give to the

lender a statement in the approved form setting out such information in

relation to the dividend as is required by the approved form to be set out.".

 

TAXATION LAWS AMENDMENT ACT (No. 2) 1991No. 100, 1991

- SECT 54

General application of Part in relation to corporate trust estates

 

  54. Section 160ARDA of the Principal Act is amended:

  (a) by omitting "and" from the end of paragraph (2) (c);

  (b) by omitting from paragraph (2) (d) "dividend." and substituting

"dividend; and";

  (c) by adding at the end of subsection (2) the following paragraph:

  "(e)   a reference to a contract of the kind known as a `cum-dividend'

contract includes a reference to a contract that, if a corporate trust estate

were a company, would be a contract of the kind known as a  `cum-dividend'

contract.".

 

TAXATION LAWS AMENDMENT ACT (No. 2) 1991No. 100, 1991

- SECT 55

Penalty for setting out incorrect amounts in dividend statements

 

  55. Section 160ARY of the Principal Act is amended:

  (a) by omitting from paragraph (1) (a) "a company gives to a shareholder in

the company" and substituting "a person (in this section called the `first

person') gives to a shareholder in a company";

  (b) by omitting from subsection (1) "the company is liable to pay" and

substituting "the first person is liable to pay";

  (c) by adding at the end the following subsection:

 "(3) In addition to its effect apart from this subsection, this section also

has the effect that it would have if section 160AQUA had not been enacted.".

 

TAXATION LAWS AMENDMENT ACT (No. 2) 1991No. 100, 1991

- SECT 56

Deemed assessment

 

  56. Section 166A of the Principal Act is amended by omitting subparagraphs

        (a) (i) and (ii) and substituting the following subparagraphs:

   "(i)   if the entity is required to make a payment under

section 221AZD in respect of that year of income:

       (A)  if the entity furnishes the return on or before the

day by which the entity is required to make the payment - on that day; or

       (B)  if the entity furnishes the return after the day by

which the entity is required to make the payment - on the day on which the

return is furnished; or

    (ii)  if the entity is not required to make a payment

under section 221AZD in respect of that year of income otherwise than because

no amount of income tax is payable - on the day that would have been

applicable under subparagraph (i) if the entity had been required to make such

a payment under section 221AZD;".

 

TAXATION LAWS AMENDMENT ACT (No. 2) 1991No. 100, 1991

- SECT 57

Quotation of tax file number in employment declaration

 

  57. Section 202CB of the Principal Act is amended by omitting from paragraph

(6) (a) "or a sole parent's pension under the Social Security Act 1947" and

substituting ", a sole parent pension or a special needs sole parent pension

under the Social Security Act 1991".

 

TAXATION LAWS AMENDMENT ACT (No. 2) 1991No. 100, 1991

- SECT 58

Effect of incorrect quotation of tax file number

 

  58. Section 202CE of the Principal Act is amended by omitting from paragraph

(7) (a) "or a sole parent's pension under the Social Security Act 1947" and

substituting ", a sole parent pension or a special needs sole parent pension

under the Social Security Act 1991".

 

TAXATION LAWS AMENDMENT ACT (No. 2) 1991No. 100, 1991

- SECT 59

Explanation of terms: investment, investor, investment body

 

  59. Section 202D of the Principal Act is amended by adding at the end the

following subsections:

  "(6) In determining whether a person in the capacity of trustee of a trust

estate is an investor in relation to an investment, it is irrelevant that the

name of the trust estate, the name of any actual or potential beneficiary or

any other indication of trust is shown on any documentation in connection with

the investment.

  "(7) Subsection (6) is enacted for the guidance and information of investors

and investment bodies and does not, by implication, affect the meaning of

other provisions of this Act dealing with trustees and trust estates.".

 

TAXATION LAWS AMENDMENT ACT (No. 2) 1991No. 100, 1991

- SECT 60

 

  60. After section 202DD of the Principal Act the following sections are

inserted:

Quotation of investment body remitter number to be alternative to quoting tax

file number

  "202DDA. (1) The regulations may provide for a system for the issue,

cancellation, alteration and quotation of investment body remitter numbers.

  "(2) Where:

  (a)  either of the following subparagraphs applies:

    (i)  both of the following conditions are satisfied:

       (A)  a body corporate (in this section called the

`interposed entity') is the investor in relation to an investment (in this

section called the `secondary investment') with an investment body (in this

section called the `secondary investment body');

       (B)  another person is entitled to receive from the

interposed entity all or part of the income from the secondary investment;

    (ii)  both of the following conditions are satisfied:

       (A)  a person is the investor in relation to an investment

covered by item 4 in the table in subsection 202D (1), being a deposit of

money with a solicitor (in this section also called the `interposed entity');

       (B)  as a result of carrying out the purpose for which that

investment was made, the interposed entity is the investor in relation to

another investment (in this section also called the `secondary investment')

with an investment body (in this section also called the `secondary investment

body'); and

  (b)  the interposed entity is taken, under regulations made for the purpose

of subsection (1), to have quoted its investment body remitter number to the

secondary investment body in connection with the secondary investment;

then, for the purposes of this Part, the interposed entity is taken to have

quoted its tax file number to the secondary investment body in connection with

the secondary investment.

Quotation of tax file number in connection with indirectly held investment

  "202DDB. (1) If, apart from this section:

  (a)  either of the following subparagraphs applies:

    (i)  both of the following conditions are satisfied:

       (A)  a body corporate (in this section called the

`interposed entity') is the investor in relation to an investment (in this

section called the `secondary investment') with an investment body (in this

section called the `secondary investment body');

       (B)  another person (in this section called the `primary

investor') is entitled to receive from the interposed entity all or part of

the income from the secondary investment (which right to receive the income or

part of the income is in this section called `primary investment');

    (ii)  both of the following conditions are satisfied:

       (A)  a person (in this section also called the `primary

investor') is the investor in relation to an investment (in this section also

called the `primary investment') covered by item 4 in the table in subsection

202D (1), being a deposit of money with a solicitor (in this section also

called the `interposed entity');

       (B)  as a result of carrying out the purpose for which that

investment was made, the interposed entity is the investor in relation to

another investment (in this section also called the `secondary investment')

with an investment body (in this section also called the `secondary investment

body'); and

  (b)  the conditions set out in the regulations are satisfied;

the following provisions have effect for the purposes of this Part and of

Division 3B of Part VI:

  (c)  the primary investor may quote his or her tax file number under section

202DB to the secondary investment body in connection with the secondary

investment as if he or she were the investor in relation to the secondary

investment;

  (d)  if the primary investor quotes his or her tax file number as mentioned

in paragraph (c) - the interposed entity is taken to have quoted his or her

tax file number to the secondary investment body in connection with the

secondary investment;

  (e)  the interposed entity is not entitled to actually quote his or her tax

file number to the secondary investment body in connection with the secondary

investment;

  (f)  the interposed entity is taken not to be an investment body in relation

to the primary investment.

  "(2) If there are 2 or more primary investors in relation to a primary

investment, all the primary investors are taken to have quoted their tax file

numbers as mentioned in paragraph (1) (c) if, and only if:

  (a)  all of those primary investors are persons who, for the purposes of

this Part, are taken, by section 202EE or 202EF, or both, to have quoted their

tax file numbers under this Division in connection with the primary

investment; or

  (b)  if:

    (i)  paragraph (a) does not apply; and

    (ii)  all of those primary investors are covered by any or

all of the following categories:

       (A)  persons who, for the purpose of this Part, are taken,

under section 202EE or 202EF, or both, to have quoted their tax file numbers

under this Division in connection with the primary investment;

       (B)  persons to whom section 202EB applies;

       (C)  entities mentioned in paragraph 202EC (1) (a); and

    (iii)  all of the following conditions are satisfied in

relation to at least one of those primary investors:

       (A)  the primary investor is covered by sub-subparagraph

        (ii) (B) or (C);

       (B)  the primary investor gives to the secondary investment

body the information mentioned in subsection 202EB (1) or 202EC (1) as if the

primary investor were the investor in relation to the secondary investment;

       (C)  as a result of the giving of that information, the

primary investor would be taken, under section 202EB or 202EC, to have quoted

his or her tax file number under this Division in connection with the

secondary investment; or

  (c)  at least one of those primary investors:

    (i)  has a tax file number; and

    (ii) has quoted that number under section 202DB to the

secondary investment body in connection with the secondary investment as if he

or she were the investor in relation to the secondary investment.".

 

TAXATION LAWS AMENDMENT ACT (No. 2) 1991No. 100, 1991

- SECT 61

Investments held jointly

 

  61. Section 202DG of the Principal Act is amended by adding at the end the

following subsection:

  "(4) This section does not apply in relation to investments covered by

section 202DDB.".

 

TAXATION LAWS AMENDMENT ACT (No. 2) 1991No. 100, 1991

- SECT 62

Persons receiving certain pensions etc. - employment

 

  62. Section 202EA of the Principal Act is amended by omitting subsection (5)

and substituting the following subsection:

  "(5) This section applies in relation to the following:

  (a)  an age pension under Part 2.2 of the Social Security Act 1991;

  (b)  an invalid pension under Part 2.3 of that Act;

  (c)  a wife pension under Part 2.4 of that Act;

  (d)  a carer pension under Part 2.5 of that Act;

  (e)  a sole parent pension under Part 2.6 of that Act;

  (f)  a widow B pension under Part 2.8 of that Act;

  (g)  a special benefit under Part 2.15 of that Act;

  (h)  a special needs pension under Part 2.16 of that Act;

  (i)  a pension under Part III of the Veterans' Entitlements Act 1986.".

 

TAXATION LAWS AMENDMENT ACT (No. 2) 1991No. 100, 1991

- SECT 63

Persons receiving certain pensions etc. - investments

 

  63. Section 202EB of the Principal Act is amended by omitting paragraphs (5)

        (a) and (b) and substituting the following paragraphs:

  "(a)   one of the following:

    (i)    an age pension under Part 2.2 of the Social Security

Act 1991;

    (ii)   an invalid pension under Part 2.3 of that Act;

    (iii)  a wife pension under Part 2.4 of that Act;

    (iv)   a carer pension under Part 2.5 of that Act;

    (v)    a sole parent pension under Part 2.6 of that Act;

    (vi)   a widow B pension under Part 2.8 of that Act;

    (vii)  a special benefit under Part 2.15 of that Act;

    (viii) a special needs pension under Part 2.16 of that

Act; or

  (b)  a rehabilitation allowance under Part 2.10 of the Social Security Act

1991 where the person is qualified to receive a pension or benefit mentioned

in paragraph (a); or".

 

TAXATION LAWS AMENDMENT ACT (No. 2) 1991No. 100, 1991

- SECT 64

Non-residents

 

  64. Section 202EE of the Principal Act is amended:

  (a)  by omitting subsection (1) and substituting the following subsection:

     "(1) For the purposes of this Part, where:

  (a)  a non-resident is an investor in relation to an investment to which

this Part applies; and

  (b)  at a particular time, the investment body pays an amount to the

non-resident by way of income derived from the investment;

the non-resident is taken to have quoted the non-resident's tax file number in

connection with the investment at that time if:

  (c)  the investment body is required to make a deduction under subsection

221YL from the payment; or

  (d)  the investment body would have been required to make such a deduction

but for the operation of paragraph 128B (3) (a), (b) or (ga) or subparagraph

128B (3) (h) (iii) or (iv).";

  (b)  by omitting paragraph (2) (a) and substituting the following

paragraph:

  "(a)   a person who was a non-resident and an investor in relation to an

investment to which this Part applies becomes a resident of Australia at a

particular time; and".

 

TAXATION LAWS AMENDMENT ACT (No. 2) 1991No. 100, 1991

- SECT 65

When income tax becomes due and payable

 

  65. Section 221AM of the Principal Act  is amended by omitting paragraphs

        (a) and (b) and substituting the following paragraphs:

  "(a)   if the entity is required to make a payment under section 221AZD in

respect of that year of income:

     (i)  if the entity furnishes the return on or before the

day by which the entity is required to make the payment - on that day; or

     (ii)  if the entity furnishes the return after the day

by which the entity is required to make the payment - on the day on which the

return is furnished; or

  (b)  if the entity is not required to make a payment under section 221AZD in

respect of that year of income otherwise than because no amount of income tax

is payable - on the day that would have been applicable under paragraph (a) if

the entity had been required to make such a payment under section 221AZD.".

 

TAXATION LAWS AMENDMENT ACT (No. 2) 1991No. 100, 1991

- SECT 66

Interpretation

 

  66. Section 221A of the Principal Act is amended:

  (a) by adding "or" at the end of paragraph (b) of the definition of

"prescribed non-resident" in subsection (1);

  (b) by omitting paragraphs (c) and (d) of the definition of "prescribed

non-resident" in subsection (1) and substituting the following paragraph:

 "(c)   a provision of the Social Security Act 1991 other than Part 2.11, 2.12

or 2.14 of that Act;";

  (c) by omitting "excepted payments for the purposes of section 23AD" from

the definition of "salary or wages" in subsection (1) and substituting

"covered by Division 1AA of Part III";

  (d) by omitting paragraph (ha) of the definition of "salary or wages" in

subsection (1).

 

TAXATION LAWS AMENDMENT ACT (No. 2) 1991No. 100, 1991

- SECT 67

Certain employees to be subject to provisional tax

 

  67. Section 221YAB of the Principal Act is amended by omitting from the

definition of "Qualifying rebates" in paragraph (b) "and 159TL" and

substituting ", 159TL and 160ACE".

 

TAXATION LAWS AMENDMENT ACT (No. 2) 1991No. 100, 1991

- SECT 68

Uplifted provisional tax amount

 

  68. Section 221YCAA of the Principal Act is amended by inserting in

paragraph (2) (m) "160ACE," after "159L,".

 

TAXATION LAWS AMENDMENT ACT (No. 2) 1991No. 100, 1991

- SECT 69

Provisional tax on estimated income

 

  69. Section 221YDA of the Principal Act is amended:

  (a) by inserting in paragraph (1) (da) "160ACE," after "160AAA,";

  (b) by inserting in subparagraph (2) (a) (ii) "160ACE," after "160AAA,".

 

TAXATION LAWS AMENDMENT ACT (No. 2) 1991No. 100, 1991

- SECT 70

Interpretation

 

  70. Section 221YHZA of the Principal Act is amended by omitting subsection

(2B).

 

TAXATION LAWS AMENDMENT ACT (No. 2) 1991No. 100, 1991

- SECT 71

Duty of payer to pay deducted amount to Commissioner

 

  71. Section 221YHZA of the Principal Act is amended by inserting after

subsection (1A) the following subsection:

  "(1AA) The Commissioner may, by notice in writing served on an investment

body, vary, in relation to the investment body, in such instances and to such

extent as the Commissioner thinks fit, any of the requirements of subsection

(1A).".

 

TAXATION LAWS AMENDMENT ACT (No. 2) 1991No. 100, 1991

- SECT 72

Credits in respect of deducted amounts

 

  72. Section 221YHZK of the Principal Act is amended by adding at the end the

following subsection:

 "(5) If, apart from this subsection:

  (a)  the Commissioner is satisfied that an amount or amounts (in this

subsection called the `deducted amount') were deducted, or were purportedly

deducted, under subsection 221YHZC (1A), from a dividend paid to a shareholder

in a company (in this subsection called the `registered shareholder'); and

  (b)  section 160AQUA applies to the payment of the dividend;

this section has effect as if:

  (c)  the company had made a payment (in this subsection called the `notional

payment') to the transferee or the lender mentioned in section 160AQUA, as the

case requires, of the amount that, by virtue of 160AQUA, is taken to be a

dividend paid to the transferee or lender for the purposes of section 44; and

  (d)  the deducted amounts had been deducted, or purportedly deducted, from

the notional payment instead of from the dividend that was paid to the

registered shareholder.".

 

TAXATION LAWS AMENDMENT ACT (No. 2) 1991No. 100, 1991

- SECT 73

Interpretation

 

  73. Section 251R of the Principal Act is amended by omitting from subsection

(5) "Part X of the Social Security Act 1947" and substituting "Part 2.17 of

the Social Security Act 1991".

 

TAXATION LAWS AMENDMENT ACT (No. 2) 1991No. 100, 1991

- SECT 74

Medicare levy

 

  74. Section 251S of the Principal Act is amended by adding at the end the

following subsection:

  "(4) In determining for the purposes of paragraph (1) (a) or (b) whether, in

relation to the 1991-92 year of income or any subsequent year of income, a

person was a resident of Australia otherwise than by virtue of subsection 7A

(2), that subsection is to be applied as if the reference in that subsection

to the Territory of Cocos (Keeling) Islands were omitted.".

 

TAXATION LAWS AMENDMENT ACT (No. 2) 1991No. 100, 1991

- SECT 75

Prescribed persons

 

  75. Section 251U of the Principal Act is amended by inserting after

subsection (1A) the following subsection:

  "(1B) In determining for the purposes of paragraph (1) (d) whether, in

relation to the 1991-92 year of income  or any subsequent year of income, a

person was a resident solely by virtue of subsection 7A (2), that subsection

is to be applied as if the reference in that subsection to the Territory of

Cocos (Keeling) Islands were omitted.".

 

TAXATION LAWS AMENDMENT ACT (No. 2) 1991No. 100, 1991

- SECT 76

 

  76. After section 399 of the Principal Act the following section is

inserted:

Modified application of bad debt provisions

  "399A. (1) For the purposes of applying this Act in calculating the

attributable income of the eligible CFC for the eligible period:

  (a)  the amendment made to section 63 by section 13 of the Taxation Laws

Amendment Act 1991 is to be taken to have applied to debts created or acquired

at any time; and

  (b)  section 63D of this Act is to be disregarded; and

  (c)  subsection (2) of this section has effect.

  "(2) Where:

  (a)  apart from this subsection, an amount would be a notional allowable

deduction to the eligible CFC under section 51 or 63 in respect of the writing

off of a debt as bad; and

  (b)  the debt was created or acquired in the ordinary course of a

money-lending business of the eligible CFC that carries on that business; and

  (c)  assuming that income:

    (i)  that has been derived by the eligible CFC in respect

of the debt; or

    (ii)  that would have been reasonably likely to have been

derived by the eligible CFC in respect of the debt if it had not become bad;

were instead derived by the eligible CFC during periods to which it may

reasonably be attributed, there would be a part or parts (which part or the

total of which parts is in this subsection called the `notional exempt income

period') of the period (in this subsection called the `eligible debt holding

period') beginning when the debt was so created or acquired, and ending when

it was written off, in respect of which some or all of that income would not

be included in the notional assessable income of the eligible CFC for any

statutory accounting period;

then only a proportion of the amount referred to in paragraph (a) is a

notional allowable deduction, being the proportion calculated using the

following formula:

    Eligible debt holding period - Notional exempt income period

                       Eligible debt term

where:

`Eligible debt holding period' means the number of days in the eligible debt

holding period;

`Notional exempt income period' means the number of days in the notional

exempt income period;

`Eligible debt term' means:

  (d)  where the debt was acquired from a person other than an associate,

within the meaning of Part IIIA - the number of days in the eligible debt

holding period; or

  (e)  in any other case - the number of days in the period beginning on the

day on which the debt was created (whether by the eligible CFC or another

person) and ending at the end of the day on which it was written off.

  "(3) For the purposes of subsection (2):

  (a)  where a debt that is written off was acquired from another person, the

creation and any previous acquisition of the debt is to be disregarded, other

than for the purposes of paragraph (2) (e); and

  (b)  if, on the assumption in paragraph (2) (c), income would be derived by

the eligible CFC during a period before the first statutory accounting period

of the eligible CFC beginning on or after 1 July 1990, then, in spite of

anything in that paragraph, that income is taken not to be included in the

notional assessable income of the eligible CFC for any statutory accounting

period; and

  (c)  it is to be assumed that, for any statutory accounting period for which

there is no requirement to calculate the attributable income of the eligible

CFC in relation to the eligible taxpayer, there is such a requirement.".

 

TAXATION LAWS AMENDMENT ACT (No. 2) 1991No. 100, 1991

- SECT 77

Reduction of section 456 assessability where item subject to foreign accruals

tax

 

  77. Section 456A of the Principal Act is amended by omitting from

subparagraph (1) (c) (i) "or above".

 

TAXATION LAWS AMENDMENT ACT (No. 2) 1991No. 100, 1991

- SECT 78

Assessability in respect of certain dividends paid by a CFC

 

  78. Section 458 of the Principal Act is amended:

  (a) by inserting after subsection (2) the following subsection:

     "(2A) Where:

  (a)  a dividend is not taxed in a listed country at the country's normal

company tax rate because the whole or part of the dividend represents another

amount in respect of which foreign tax is payable under an accruals tax law of

the listed country; and

  (b)  that other amount is, under the accruals tax law, taxed in the listed

country at the country's normal company tax rate;

    the following provisions have effect:

  (c)  if:

    (i)  the whole of the dividend represents the other amount;

or

    (ii)  part of the dividend represents the other amount and,

on the assumption that section 325 applied to the remainder of the dividend as

if it were an entire dividend, the remainder of the dividend would be taxed in

the listed country at the country's normal company tax rate;

then subsection (1) does not apply in relation to the dividend;

  (d)  in any other case - the only application that subsection (1) has in

relation to the dividend is in respect of the remainder of the dividend as if

it were an entire dividend.";

  (b) by inserting after subsection (6) the following subsection:

     "(6A) Where:

  (a)  either:

    (i)  the dividend referred to in subsection (3) (in this

subsection called a `dividend amount'); or

    (ii)  any amount (in this subsection also called a

`dividend amount') that would, as a result of the payment of the dividend

referred to in subsection (4) or (5), be included in the tax base of the CFC

or CFT, or of any partnership or trust, referred to in paragraph (4) (b) or

(5) (b), in respect of the holding of any interest or present entitlement

referred to in that paragraph;

is not taxed in a listed country at the country's normal company tax rate

because the whole or part of the dividend amount represents another amount (in

this subsection called the `accruals-taxed amount') in respect of which

foreign tax is payable under an accruals tax law of the listed country; and

  (b)  the accruals-taxed amount is, under the accruals tax law, taxed in the

listed country at the country's normal company tax rate;

the following provisions have effect:

  (c)  if:

    (i)  the whole of the dividend amount represents the

accruals-taxed amount; or

    (ii)  part of the dividend amount represents the accruals-taxed

amount and, on the assumption that section 325 applied to the remainder of the

dividend amount as if it were an entire dividend amount, the remainder of the

dividend amount would be taxed in the listed country at the country's normal

company tax rate;

then subsection (3), (4) or (5), as the case may be, does not apply in

relation to the dividend referred to in that subsection;

  (d)  in any other case - the only application that subsection (3), (4) or

(5), as the case may be, has in relation to the dividend referred to in that

subsection is in respect of a proportion of the dividend (as if it were an

entire dividend) calculated using the formula:

         Remainder

         ---------------   x    Dividend

         Dividend amount

where:

`Remainder' means the remainder of the dividend amount;

`Dividend amount' means the dividend amount;

`Dividend' means the amount of the dividend.".

 

TAXATION LAWS AMENDMENT ACT (No. 2) 1991No. 100, 1991

- SECT 79

 

  79. After section 462 of the Principal Act the following section is

inserted:

Keeping of records - section 457

  "462A. Subject to this Division, where:

  (a)  subsection 457 (1) applies to a change of residence of a CFC; and

  (b)  at the residence-change time referred to in that subsection, a person

is an attributable taxpayer in relation to the CFC;

the person must keep records (in Australia or elsewhere) containing

particulars of:

  (c)  the acts, transactions and other circumstances that resulted in the

person being an attributable taxpayer in relation to the CFC at that time;

and

  (d)  the basis of the calculation of:

    (i)  the direct attribution interest; and

    (ii)  the aggregate of the indirect attribution interests;

in the CFC held by the person at that time; and

  (e)  the basis of the calculation of the attribution percentage of the

person in relation to the CFC at that time; and

  (f)  the basis of the calculation of the amount (including a nil amount)

included in the assessable income of the person under section 457 in relation

to the change of residence concerned.".

 

TAXATION LAWS AMENDMENT ACT (No. 2) 1991No. 100, 1991

- SECT 80

 

  80. After section 464 of the Principal Act the following section is

inserted:

Keeping of records - section 459A

  "464A. Subject to this Division, where:

  (a)  subsection 459A (1) applies in relation to an amount (in this section

called the `trigger amount') included in the assessable income of an

Australian partnership or of an Australian trust as mentioned in paragraph

459A (1) (a); and

  (b)  at the time referred to in whichever subparagraph of paragraph 459A (1)

        (c) is applicable, a person is an attributable taxpayer in relation to the

CFC or the CFT mentioned in that paragraph;

the person must keep records (in Australia or elsewhere) containing

particulars of:

  (c)  the acts, transactions and other circumstances that resulted in the

person being an attributable taxpayer in relation to the CFC or the CFT at

that time; and

  (d)  the basis of the calculation of:

    (i)  the direct attribution interest; and

    (ii)  the aggregate of the indirect attribution interests;

in the CFC or the CFT held by the person at that time; and

  (e)  the basis of the calculation of the attribution percentage of the

person in relation to the CFC or the CFT at that time; and

  (f)  the basis of the calculation of the amount (including a nil amount)

that, apart from subsection 459A (2), would be included in the assessable

income of the person under subsection 459A (1) in relation to the trigger

amount.".

 

TAXATION LAWS AMENDMENT ACT (No. 2) 1991No. 100, 1991

- SECT 81

Offence of failing to keep records

 

  81. (1) Section 465 of the Principal Act is amended by inserting "462A,"

after "462,".

  (2) Section 465 of the Principal Act is amended by omitting "or 464" and

substituting ", 464 or 464A".

 

TAXATION LAWS AMENDMENT ACT (No. 2) 1991No. 100, 1991

- SECT 82

Circumstances where records not required to be kept - reasonable excuse etc.

 

  82. (1) Section 467 of the Principal Act is amended by inserting in

paragraphs (a) and (b) "or 462A" after "462".

  (2) Section 467 of the Principal Act is amended:

  (a) by omitting from paragraphs (a) and (b) "or subsection" and substituting

", subsection";

  (b) by inserting in paragraphs (a) and (b) "or section 464A" after "(2) or

(3)".

 

TAXATION LAWS AMENDMENT ACT (No. 2) 1991No. 100, 1991

- SECT 83

Application of amendments

 

  83. (1) In this section:

"amended Act" means the Principal Act as amended by this Act.

  (2) The amendments made by sections 16, 17, 20, 32, 35, 46, 47, 48, 49, 57,

58, 62, 63, 66 and 73 apply in relation to payments made on or after 1 July

1991.

  (3) The amendments made by sections 18, 19 and 51 apply in relation to

income derived on or after 1 July 1990.

  (4) The amendments made by section 25 apply in relation to agreements of the

kind known as securities lending arrangements that are entered into on or

after the date of commencement of this subsection.

  (5) The amendments made by section 28 apply in relation to dividends paid

after 18 April 1991.

  (6) The amendment made by section 30 applies to expenditure incurred after

21 August 1990.

  (7) Subparagraph 78 (1) (a) (xxiv) 0f the amended Act applies to gifts made

on or after 13 July 1989.

  (8) The amendments made by paragraghs made by paragraphs 33 (b), (e) and (f)

apply to assessments in respect of income of the 1985-86 year of income and og

all subsequent years of income.

  (9) Even though an amendment of the Income Tax Assessment Act 1936 has been

made under paragraph 33 (c) or (d), if a particular assessment would be

affected by the amendment, the amendment is to be regarded in making the

assessment.

  (10) The amendments made by sections 41-42 and 44 apply to assessments in

respect of income of the 1987-88 year of income and of all subsequent years of

income.

  (11) Section 159 GZLB of the amended Act applies to assessments in respect

of income of the 1991-92 year of income and of all subsequent years of

income.

  (12) The amendment made by subsection made by subsection 52 (1) applies to a

dividend paid by a company during the 1991-92 year of income of the company or

during a sebsequent year of income.

  (13) The amendments made by section 53 apply to dividends where the dividend

closing time is on or after:

  (a) if the date of commencement of this subsection is before 1 August 1991-1

August 1991; or

  (b) if the date of commencement of this subsection is on or after 1 August

1991-the first day of the month next following the month in which the date of

commencement of this subsection occurs.

  (14) The amendments made by sections 56 and 65 apply in relation to the year

of income ending on 30 June 1990 or a subsequent year of income.

  (15) Subsections 202D (6) and (7), section 202DDB and subsection 202DG (4)

of the amended Act apply to the quotation of tax file numbers on or after 1

July 1990.

  (16) The amendment made by section 76 applies in relation to the calculation

of attributable income of any eligible period beginning on or after 1 July

1990.

  (17) Section 458 of the amended Act has the same application as section 458

of the Principal Act was given when it was inserted by the Taxation Laws

Amendment (Foreign Income) Act 1990.

 

TAXATION LAWS AMENDMENT ACT (No. 2) 1991No. 100, 1991

- SECT 84

Amendment of assessments

 

  84.  Section 74 of the Fringe Benefits Tax Assessment Act 1986 does not

prevent the amendment of an assessment made before the commencement of this

section for the purpose of giving effect to the amendments of sections 23AF

and 23AG of the Principal Act made by this Act.

 

PART 4 - AMENDMENT OF THE INCOME TAX RATES ACT 1986

 

TAXATION LAWS AMENDMENT ACT (No. 2) 1991No. 100, 1991

- SECT 85

Principal Act

 

  85.  In this Part, "Principal Act" means the Income Tax Rates Act 1986.*3*

*3* No. 107, 1986, as amended. For previous amendments, see Nos. 60 and 138,

1987; and Nos. 11, 78 and 118, 1988; Nos. 98 and 106, 1989; No. 87, 1990; and

No. 48, 1991.

 

TAXATION LAWS AMENDMENT ACT (No. 2) 1991No. 100, 1991

- SECT 86

Interpretation

 

  86.  Section 3 of the Principal Act is amended by omitting "1947" from

paragraph (c) of the definition of "prescribed non-resident" in subsection (1)

and substituting "1991".

 

TAXATION LAWS AMENDMENT ACT (No. 2) 1991No. 100, 1991

- SECT 87

Interpretation

 

  87. Section 16 of the Pricipal Act is amended by omitting paragraph (c) of

the definition of "elegible pensioner" in subsection (1) and substituting the

following paragraph:

  "(c) a provision of the Social Security Act 1991 other than Part 2.11, 2.12

or 2.14 of that Act;".

 

TAXATION LAWS AMENDMENT ACT (No. 2) 1991No. 100, 1991

- SECT 88

Application of amendments

 

  88.  The amendments made by this Part apply in relation to payments made on

or after 1 July 1991.

 

PART 5 - AMENDMENT OF THE MEDICARE LEVY ACT 1986

 

TAXATION LAWS AMENDMENT ACT (No. 2) 1991No. 100, 1991

- SECT 89

Principal Act

 

  89.  In this Part, "Principal Act" means the Medicare Levy Act 1986.*4*

*4* No. 110, 1986, as amended. For previous amendments, see No. 110, 1987; No.

93, 1988; No. 137, 1989; and Nos. 86 and 135, 1990.

 

TAXATION LAWS AMENDMENT ACT (No. 2) 1991No. 100, 1991

- SECT 90

Amount of levy-person who has spouse or dependants

 

  90.  Section  8 of the Principal Act is amended by omitting from subsection

(6) "Part of the Social Security Act 1947" and substituting "Part 2.17 of the

Social Security Act 1991".

 

TAXATION LAWS AMENDMENT ACT (No. 2) 1991No. 100, 1991

- SECT 91

Application of amendments

 

  91.  The amendments made by this Part apply in relation to payments made on

or after 1 July 1991.

 

PART 6 - AMENDMENT OF THE TAXATION ADMINISTRATION ACT 1953

 

TAXATION LAWS AMENDMENT ACT (No. 2) 1991No. 100, 1991

- SECT 92

Principal Act

 

  92.  In this Part, "Principal Act" means the Taxation Administration Act

1953.*5*

*5* No. 1, 1953, as amended. For previous amendments, see Nos. 28, 39, 40 and

52, 1953; No. 18, 1955; No. 39, 1957; No. 95, 1959; No. 17, 1960; No. 75,

1964; No. 155, 1965; No. 93, 1966; No. 120, 1968; No. 216, 1973; No. 133,

1974; No. 37, 1976; Nos. 19 and 59, 1979; Nos. 39 and 117, 1983; No. 123,

1984; No. 65, 1985 (as amended by No. 193, 1985); Nos. 4, 47, 104, 123 and

168, 1985; Nos. 41, 46, 48, 112, 144 and 154, 1986; No. 49, 1986 (as amended

by No. 141, 1987); Nos. 120 and 145, 1987; No. 62, 1987 (as amended by No.

108, 1987); No. 108, 1987 (as amended by No. 138, 1987); No. 138, 1987 (as

amended by No. 11, 1988); Nos. 95 and 97, 1988; Nos. 97, 105, 107, 124, 163

and 167, 1989; Nos. 20, 60, 61, 110, 119 and 136, 1990; and Nos. 5, 6 and 48,

1991.

 

TAXATION LAWS AMENDMENT ACT (No. 2) 1991No. 100, 1991

- SECT 93

Interpretation

 

  93. Section 2 of the Principal Act is amended:

  (a) by following after paragraph (d) of the definition of "head" the

following paragraphs:

    "(daa)  in the case of the Australian Bureau of Criminal

Intelligence-the Director of the Bureau;

     (dab)  in the case of the Independent Commission Against

Corruption-the Commissioner of the Commission;

     (dac)  in the case of the New South Wales Crimes

Commission-the Chairperson og the Commission;";

  (b)  by inserting after paragraph (d) of the definition of "law enforcement

agency" the following paragraphs:

   "(daa)  the Austral;ian Bureau of Criminal Intelligence

established by an agreement made on 6 February 1981 between the Commonwealth,

the 6 States and the Nothern Territory;

    (dab)  the Independent Commission Against Corruption

established by the Independent Commission Against Corruption Act 1988 of New

South Wales;

    (dac) the New South Wales Crimes Commission;".

 

TAXATION LAWS AMENDMENT ACT (No. 2) 1991No. 100, 1991 - SCHEDULE 1

 

                            SCHEDULE 1                         Section 10

        AMENDMENTS OF THE FRINGE BENEFITS TAX ASSESSMENT ACT 1986

      CONSEQUENTIAL ON THE REPEAL OF SECTIONS 65B AND 65C OF THAT ACT

  1. The following provisions of the Principal Act are amended by omitting

"sections 62, 65B and 65C" (wherever occurring) and substituting "section

62":

  Sections 61A, 61C, 61D, 63 and 65A.

  2. The following provisions of the Principal Act are

amended by omitting "and sections 65B and 65C":

  Sections 61B, 61E and 61F.

 

TAXATION LAWS AMENDMENT ACT (No. 2) 1991No. 100, 1991 - SCHEDULE 2

 

                            SCHEDULE 2                         Section 11

          CONSEQUENTIAL AMENDMENTS OF THE FRINGE BENEFITS TAX

     ASSESSMENT ACT 1986 RELATING TO THE COCOS (KEELING) ISLANDS

  1. The following provisions of the Principal Act are amended by omitting

"section 62" (wherever occurring) and substituting "sections 62 and 65CAA":

  Sections 61A, 61C, 61D, 63 and 65A.

  2. The following provisions of the Principal Act are

amended by omitting "but for this section" and substituting

"but for this section and section 65CAA":

  Sections 61B, 61E and 61F.


Notes to the Taxation Laws Amendment Act (No. 2) 1991

Note 1

The Taxation Laws Amendment Act (No. 2) 1991 as shown in this compilation comprises
Act No. 100, 1991 amended as indicated in the Tables below.

Table of Acts

Act

Number
and year

Date
of Assent

Date of commencement

Application, saving or transitional provisions

Taxation Laws Amendment Act (No. 2) 1991

100, 1991

27 June 1991

See s. 2

 

Tax Laws Amendment (2010 Measures No. 2) Act 2010

75, 2010

28 June 2010

Schedule 6 (items 43, 44): 29 June 2010


Table of Amendments

ad. = added or inserted     am. = amended     rep. = repealed     rs. = repealed and substituted

Provision affected

How affected

S. 84.......................................

am. No. 75, 2010